SK Hynix resolved a labor dispute and is ramping defense against ChangXin Memory (CXMT) DRAM expansion, competing on memory density and performance for AI accelerator supply.

SK Hynix has resolved a labor standoff that threatened production disruptions, securing a new collective agreement with union representatives. On September 16, approximately 57% of employees voted to ratify a revised wage deal that ended a dispute centered on profit-sharing structure. Under the agreement, bonuses will be split evenly between cash and company stock, replacing an earlier proposal that would have limited the cash component to 40%. The resolution shields the South Korean memory maker from strike risk at a time of sustained global demand for advanced memory components.

While SK Hynix addressed internal labor matters, the competitive landscape shifted. China's leading DRAM manufacturer, CXMT, commenced mass production of fifth-generation DRAM chips this week, according to media reports. The platform delivers higher performance alongside lower manufacturing costs and reduced power consumption—a combination that escalates pressure on Samsung, SK Hynix and Micron, which have long dominated the segment.

The financial backdrop is striking. In the recent second quarter, CXMT posted an operating margin of 82%, outpacing SK Hynix at 76% and Samsung Electronics at 70%, fueled by rising DDR5 memory prices. For the established Korean players, CXMT's entry represents a material escalation in DRAM competition.

SK Hynix is responding with specialized solutions for modern data centers. On September 15, the company expanded its presence at the AI Infra Summit 2026 in Santa Clara, California, doubling its exhibition footprint and unveiling next-generation technologies including HBM, PIM, HBF and SALT-KV architectures designed for artificial intelligence workloads. A week earlier, on September 8, it had previewed transformation trends at a forward-looking forum at its Icheon campus.

The company is also reassessing its international manufacturing footprint. In a mandatory Securities and Exchange Commission filing on Friday, SK Hynix stated that reports of a potential plant in Japan remain under review with no decisions finalized.

Exploratory discussions with Intel have drawn investor attention. Reuters reported negotiations covering possible memory chip production on American soil, including options to lease portions of a planned Intel fabrication facility in Ohio or establish a joint venture with major cloud-computing customers. SK Hynix has emphasized that no concrete plans have been finalized but confirmed it is exploring ways to strengthen global competitiveness. The stock has risen 4.9% since reports of the talks emerged.

In recent Asian trading, the stock climbed 1.2% to KRW 1,862,000.00, with gains of 0.3% on the current trading day to KRW 1,846,000.00. Year-to-date, shares have surged 184%, supported by sustained high memory demand from artificial intelligence and cloud applications.