HK Stock Market Move | Chaozhou Three-Circle (Group) (06951) rose more than 6% in the afternoon; institutions say domestic MLCC manufacturers are expected to accelerate their entry into international supply chains.

Chaozhou Three-Circle (Group) (06951) rose more than 6% in the afternoon. As of press time, it was up 5.67% at HK$136, with a turnover of HK$42.1953 million. On the news front, Samsung Electro-Mechanics said it has signed a supply contract worth approximately KRW 290 billion with a major global company for multilayer ceramic capacitors (MLCCs) used in AI servers, with the contract period running from January 1 to December 31, 2027. The deal is the sixth long-term supply agreement Samsung Electro-Mechanics has announced this year. Samsung Electro-Mechanics said that from May this year to date, it has continuously signed long-term supply contracts totaling approximately KRW 3.9 trillion, covering products such as silicon capacitors, AI server MLCCs, and inductors. Soochow released a research report stating that brand manufacturers such as Dell, HP, Asus, and Acer, through referrals from ODM manufacturers such as Huaqin, LCFC, and Luxshare, have begun verifying MLCC products from Weirong, Sanhuan, and others, while manufacturers such as Quanta and Pegatron have also visited Sanhuan and launched verification. Mainland original manufacturers may still be constrained in the short term in terms of yield rates and production capacity for high-end AI products, but the trend of international OEMs/ODMs expanding the adoption of mainland alternative resources in general-purpose servers, consumer electronics, and the low-end automotive-grade market has gradually become clear.