The Lin-gang Special Area Administration signs an agreement with Hwatsing Technology Co Ltd on May 16 in Shanghai. [Photo/WeChat ID: shlgguanweihui]

The Lin-gang Special Area Administration – which operates the Lin-gang Special Area in East China's Shanghai – signed an agreement on May 16 for listed semiconductors equipment manufacturer Hwatsing Technology Co Ltd to establish operations in the zone.

Hwatsing, which is engaged in making integrated circuits chemical-mechanical polishing, or CMP equipment, was incubated by Beijing's Tsinghua University.

It will now build a research and manufacturing center in Lin-gang for IC equipment and components, aiming for an annual output value of at least 1 billion yuan ($138.6 million).

The Lin-gang facility will also serve as Hwatsing's regional headquarters for the Yangtze River Delta, boosting service levels and driving the development forwards of advanced process technology.

Founded in 2013, Hwatsing Technology has a portfolio of core intellectual property rights. Its main products include CMP and thinning equipment.

The company, which started out in Tsinghua University's State Key Laboratory of Tribology, was listed in June 2022 on the Shanghai Stock Exchange STAR Market, officially known as the Shanghai Stock Exchange Science and Technology Innovation Board.

Then in 2023, Hwatsing reported annual revenue of 2.51 billion yuan, a whopping 52 percent increase on the previous year.

Since its establishment in 2019, the Lin-gang Special Area has become a major hub for the IC industry, attracting over 260 top companies.

These include firms involved in chip design, wafer manufacturing, raw materials, components, high-end equipment and advanced packaging and testing.

Leading companies in the area include GTA Semiconductor and Kingsemi, along with promising local firms like Zenfocus. Overall, Lin-gang is now widely said to be the most concentrated IC industry hub in Shanghai, the Yangtze River Delta and indeed in China.