Concerns over potential U.S. tariff hikes have sparked an increase in memory stockpiling demand, with industry forecasts suggesting dynamic random-access memory (DRAM) and NAND flash memory prices could surge by up to 8% in Q2 this year.
On Thursday, Taiwanese market research firm TrendForce Corporation reported that while universal(legacy) DRAM contract prices fell 8-13% in Q1 compared to the previous quarter, they’re expected to rebound by 3-8% in Q2.
High-bandwidth memory (HBM) prices, which dipped 0-5% in Q1, are also projected to climb 3-8% in Q2.
Similarly, NAND prices, after a 15-20% drop in Q1, are forecast to rise 3-8% in Q2.
The across-the-board increase in memory prices is largely attributed to U.S. tariff uncertainty. U.S. President Donald Trump’s 90-day grace period on reciprocal tariffs for all countries except China has prompted a rush to stockpile memory inventory, driving up market prices.
However, TrendForce cautions that this price surge may be short-lived. The firm notes that tariff-sensitive demand could concentrate in the first half of the year, potentially disrupting typical seasonal trends later on.
Avril Wu, Senior Research Vice President at TrendForce, noted that both memory buyers and suppliers are actively working to finalize transactions and shipments during the grace period to mitigate tariff risks. She also projected a significant increase in memory market activity in the second quarter.
