Starting with Honda's production reduction, in just a few weeks, it is no longer news that the shortage of car chips has dragged down the production capacity of the whole car factory. Audi, Ford and other big companies have joined the "chip crying poor" brigade one after another. At the tip of the storm, the listing of BYD Semiconductor, the leading semiconductor leader in China, also seems to be accelerating.
According to the information released on Wednesday (20th), BYD Semiconductor Co., Ltd. has received China International Capital Corporation IPO tutoring, and recently completed the tutoring record in Shenzhen Securities Supervision Bureau. The news was announced only 20 days after BYD officially announced that it was planned to spin off BYD Semiconductor.
This speed inevitably recalls that in the first half of last year, BYD Semiconductor completed two rounds of financing with a total amount of 2.7 billion yuan in 69 days after completing the reorganization. After six months of "low profile", BYD Semiconductor started "acceleration" again, behind the accelerated pace of listing, "chip inflation" or one of the driving forces that can not be ignored.
The car chip "stuck neck" MCU has become popular.
Wang Liusheng team of China Merchants Securities reported on December 10, 2020 that chip shortages are not uncommon for major electronic technology manufacturers around the world, but last year, affected by the epidemic, chip assembly plants in Southeast Asia were forced to stop production, and the tight supply of chips became more and more prominent. the impact is also transmitted from consumer electronics to the automotive industry.
According to industry insiders recently told reporters, due to the tight production capacity of the 8-inch chip production line, the supply of chips used in automobiles and electronic products is expected to remain tight in the first quarter of this year, and orders from enterprises in the relevant industry chain have been arranged until the end of the year.
Volkswagen, for example, told the Financial Associated Press yesterday that chip shortages affected production in China in December, reducing its car sales by tens of thousands, and chip shortages are expected to continue in the first quarter. On the same day, another international giant Ford also told the media that its three factories in Germany, the United States and India had stopped production due to a shortage of chips.
It should be pointed out that, according to numerous brokerage research reports and industry research, the chips used in the automotive field are mainly small chips with a unit price of several US dollars, such as ESP (Electronic Stability Program system) and ECO (Intelligent engine Control system) modules in 8-bit functional MCU, auto parts need to use MCU.
BYD, for its part, has entered the MCU field since 2007 and currently has a series of products such as industrial-grade general-purpose MCU chips, 8-bit, 32-bit MCU chips and battery management MCU chips, of which the number of car-grade MCU has exceeded 5 million.
IGBT is out of stock for longer or opens the prelude to BYD's external supply.
In addition to MCU, power semiconductors, one of the largest categories of automotive semiconductors and the main business of BYD Semiconductor, are also facing a serious shortage, even earlier and more severe than MCU.
According to domestic media reports in November last year, in 2020, customer demand is still strong, but the shortage of supply in the domestic IGBT market has not alleviated, but intensified. Since the beginning of the year, large international IGBT factories have been affected by the epidemic, and the problem of insufficient capacity supply persists, and it is even reported that the supply cycle of IGBT has been extended to 52 weeks at one time in the industry.
The report pointed out that with the shortage of foreign IGBT products and the lengthening of delivery time, domestic customers are gradually accepting the second supply of domestic IGBT, training while placing full orders for products, giving domestic IGBT manufacturers a chance to "try and make mistakes". Manufacturers who originally used imported IGBT also gradually introduced domestic suppliers such as Starr semiconductors and BYD semiconductors because of insufficient supply.
Data show that BYD began to layout IGBT, in 2005 and began to support its new energy vehicles in batch in 2010. According to NE time data, in 2019, BYD Semiconductor has a market share of 18% in domestic IGBT for new energy vehicles, ranking second, second only to the global leader Yinglingfei, and is currently the largest manufacturer of automotive specification-grade semiconductors in China.
In terms of products, its self-developed IGBT has developed to the fourth generation, its comprehensive chip loss is 20% lower than that of the current mainstream, and its temperature cycle life is increased by more than 10 times. In 2018, the company announced that SiC MOSFET, can improve vehicle performance by 10%. It has been equipped with its hot model "Han" with blade batteries.
Everbright Securities Yang Yaoxian team reported on December 31, 2020 that the core product of BYD Semiconductor is new energy vehicle power semiconductors, which is currently mainly supplied by BYD new energy vehicles. Through legalization, the introduction of strategic investors and listing, on the basis of maintaining the control of the company, strengthen the independent operation of BYD Semiconductor, lay the foundation for the neutralization of the brand and the expansion of in vitro sales.
The report believes that with the advent of the era of new energy vehicles and the country's attention to the autonomy of the core technology of "sticking neck", the value of BYD's semiconductor business is becoming more and more prominent. Through the spin-off and listing, the value of the semiconductor business will be revalued in the capital market, and its market value can be fully exploited, which is expected to drive the overall market value of the company upward.
