SK hynix Inc. said it has acquired a global certification for information security in the automobile industry for the first time as a memory company (Image courtesy of Yonhap)
SEOUL, June 11 (Korea Bizwire) — SK Hynix CEO Kwak Noh-Jung warned that growing global trade tensions could fuel volatility in the second half of the year, even as the semiconductor giant maintains steady performance aligned with its internal forecasts.
Speaking at an internal company town hall Tuesday at the Icheon campus, Kwak acknowledged the uncertainty ahead, citing the potential impact of expanding tariff policies, particularly from the United States, on the semiconductor industry.
“While it’s difficult to predict how things will unfold this year and next, we are progressing roughly as planned,” he told employees during the biannual event, which was broadcast across all domestic SK Hynix sites. “Let’s work together to stay on course.”
Kwak’s remarks come as concern mounts over the Biden administration’s expansive use of reciprocal tariffs, with speculation that semiconductors may soon face product-specific levies. Analysts believe SK Hynix, one of the world’s largest memory chipmakers, could be directly affected.
SK Hynix CEO Kwak Noh-Jung delivers a presentation titled “A New Journey in Next-Generation AI Memory” at the SK AI Summit 2024, held on November 4 last year at COEX in Gangnam, Seoul. (Yonhap)
Still, the company maintains an optimistic outlook on market fundamentals. Lee Sang-Rak, head of global sales and marketing, described the first half of 2025 as “very strong” and projected that the remainder of the year would remain resilient. He emphasized SK Hynix’s strength in high-bandwidth memory (HBM), a key component in AI data processing.
SK Hynix is currently supplying NVIDIA with its latest-generation HBM3E (5th gen), with full shipment capacity already sold out for 2025. The firm has also distributed samples of its next-generation HBM4 (6th gen) to major customers, including NVIDIA, with mass production expected to begin later this year.
That dominance helped SK Hynix surpass Samsung Electronics in global DRAM market share for the first time in 33 years. According to research firm Omdia, SK Hynix held 36.9% of the DRAM market in Q1 2025, compared to Samsung’s 34.4%.
Despite the momentum, internal tensions surfaced over the company’s procurement strategy. Executive Vice President Kim Young-Sik, who oversees production, reaffirmed the company’s commitment to diversification of critical equipment such as “TC bonders,” essential for HBM fabrication.
SK Hynix previously relied exclusively on Hanmi Semiconductor’s equipment for HBM3E manufacturing but began sourcing from Hanwha Semitech earlier this year. The shift led to friction, with Hanmi reportedly demanding paid services and equipment price hikes, arguing it had provided support and competitive pricing over the years.
Kim dismissed the claims, saying, “There was no such thing as free service, and we followed our internal pricing policies. We’ve worked with both companies long enough to make our own balanced decision.”
The front gate of SK hynix Inc.’s headquarters in Icheon, about 50 kilometers southeast of Seoul, is seen in this photo provided by the company. (Image courtesy of Yonhap)
On the labor front, Kwak also addressed ongoing tensions surrounding SK Hynix’s performance-based pay system. The company is revisiting the criteria for its “Profit Sharing” (PS) bonuses, which can reach up to 50% of an employee’s annual base salary.
“The current rules feel ambiguous to many. We’ll gather input from various departments to develop a more transparent system,” Kwak said, proposing an internal forum to discuss financial matters openly in order to reduce misunderstandings.
SK Hynix had awarded a record bonus earlier this year — 1,500% of base salary — following 2024’s all-time high operating profit of 23.5 trillion won. However, labor unions have pushed for even higher payouts and are currently negotiating over wage increases and PS restructuring.
As geopolitical pressures loom and internal expectations rise, SK Hynix finds itself navigating a complex landscape — bolstered by technological leadership but challenged by growing economic headwinds and evolving workplace demands.
Kevin Lee (kevinlee@koreabizwire.com)
