China Accelerates Semiconductor Self-Reliance: The Answer Lies in the Massive IPO Pipeline; Will China's Strategy Work? Hana Securities Research Center Global Macro Strategy Team Lead Kim Kyung-hwan

Summary

Kim Kyung-hwan of Hana Securities argues that China is shifting to an IPO-driven industrial policy to accelerate self-reliance in GPUs, HBM/memory, semiconductor equipment, and commercial space. He favors China's advanced manufacturing and export-oriented leaders while avoiding property and domestic-consumption exposure, and he flags Chinese HBM progress as a medium-term watch item for Korean memory makers. Host Vincent also reiterates a bullish KOSPI view targeting 5,000 before Lunar New Year.

• China is using fast-track IPOs and Hong Kong dual listings to fund technology self-reliance.
• Domestic GPU and HBM/memory champions are key policy priorities; listings and mass-production progress are watch items.
• Commercial aerospace and rocket IPOs are expected to be a major 2026 theme.
• China's equity profit mix is shifting toward advanced manufacturing and exporters, away from property and domestic demand.
• Korean memory leaders face a medium-term China HBM overhang, though the guest sees first-half risk as premature.
• BYD and Xiaomi are viewed as likely EV survivors, but BYD needs restructuring before a clear breakout.
• Host Vincent remains bullish KOSPI, targeting 5,000 before Lunar New Year.
• China consumer and real estate remain unattractive due to weak domestic demand and deflation.