Driven by self-control + price increase cycle, the chip sector is active again. Pay attention to the allocation value of related sectors.

On April 7, the chip sector became active again. E Fund’s Chip ETF (516350), E Fund’s Sci-Tech Chip ETF (589130), and E Fund’s Sci-Tech Chip Design ETF (589030) all saw intraday gains briefly exceed 2%. Several targets within the sector surged. As of 13:40 on April 7, Kangqiang Electronics (002119.SZ) hit the daily limit, Cambricon (688256.SH) rose by more than 9%, ALi Yun Technology (688449.SH) and Demingli (001309.SZ) rose by more than 7%, Changchuan Technology (300604.SZ) and Jiangbo Long (301308.SZ) rose by more than 4%, and Buwi Memory (688525.SH), Chipone (688521.SH), among others, also moved up in tandem. Funds have focused on the domestic computing power and the semiconductor cycle recovery theme, and trading activity in the sector has increased significantly.

The current market performance of the chip sector is mainly driven by two core logics: domestic computing power that is independently controllable, and the global storage/AI hardware price-hike cycle.

First, the domestic AI chip ecosystem is approaching a key turning point. Local chips represented by Ascend are rapidly closing the performance gap (FP8 precision, HBM capacity) with mainstream international benchmarks. At the same time, architectural compatibility significantly reduces migration costs. In addition, leading model vendors (such as DeepSeek) have been the first to adapt domestic chips, breaking the “NVIDIA (NVDA.US) priority” convention, and accelerating the pace of domestic substitution.

On the other hand, expectations for restrictions related to the U.S. MATCH bill are heating up. The bill requires: ① banning key equipment such as DUV lithography machines and cryogenic etching machines; ② banning relevant entities such as SMIC, Hua Hong, YMTC, UNISOC, and Huawei, as well as banning technical support for maintenance; ③ requiring allied countries such as the Netherlands and Japan to align controls within 150 days. These restrictions on semiconductor equipment, components, and technical support further strengthen the pressure, forcing China’s semiconductor industry chain to speed up independent controllability. Equipment, materials, components, and other segments are set to see medium- to long-term growth opportunities.

In addition, the global memory chip price-hike cycle continues to deepen. Major manufacturers such as Samsung have raised DRAM and NAND contract prices. Combined with AI hardware upgrades, upstream materials such as high-end HDI PCBs, high-frequency copper-clad laminates, optical modules, and optical fiber—due to constrained production capacity—continue to rise in price. Meanwhile, terminal catalysts such as Apple (AAPL.US) starting trial production of foldable screens and raising guidance for AI server shipments drive continued rebound in demand for packaging, testing, and materials.

To capture structural opportunities in this chip sector move, you can consider three major chip ETF tools under E Fund. E Fund’s Chip ETF (516350) covers leading companies across the entire chip industrial chain; E Fund’s Sci-Tech Chip ETF (589130) focuses on high-quality chip enterprises on the Sci-Tech Innovation Board; E Fund’s Sci-Tech Chip Design ETF (589030) focuses on the chip design sub-segment, precisely capturing opportunities in the sector’s finer areas.