Chip experts claim that strong domestic demand can help Chinese businesses
Chip experts claim that strong domestic demand can help Chinese businesses

BEIJING: China's vast domestic market will provide a buffer and a safe haven for the domestic semiconductor industry as the US progresses towards developing advanced chips, a group of Chinese industry insiders said at a forum in Shanghai on Tuesday. wants to slow down.

Industry participants spoke at the Semicon China Executive Summit, a forum for executives, researchers and government representatives to exchange views. The remarks come after the US recently tightened trade sanctions against Chinese chip makers.

The updated US export controls, aimed at China's chip ambitions, are expected to have a "significant impact", according to Semi China president Chu Lung. A far cry from when the mood was upbeat two years ago, Chu, a former employee of US chip process control systems company KLA, claimed sentiments had soured in China as people realized the "threat" to the industry.

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According to Tang Wenkan, deputy director of the Shanghai Municipal Commission of Economy and Informatics, China will continue to pursue investors through an open market strategy.

The automotive industry, in response to heavily anticipated demand from downstream industries such as Shanghai, which currently accounts for a quarter of China's semiconductor production, is planning to build five industrial parks for chips, some of which focus on mature node products. Will do, Tang said on stage.

According to Wang Ning, president of China's Electronic Chamber of Commerce, China's chip market will continue to expand due to the development of the country's digital economy.

The semiconductor industry will probably get more government support as the US is adopting a "cold war mentality" to stifle China's growth, Wang predicted on stage.

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Professor Wu Hanming of Zhejiang University suggested that China revise its road map to place more emphasis on mature process nodes. "Developing advanced process technology is very difficult.

Therefore, Wu said, "China's technology road map needs to refocus on specialized process technology and advanced packaging". According to Wu, "China's IC market potential is huge for mature process technology nodes."

The US Bureau of Industry and Security announced new sanctions on October 7 that included a ban on "US persons supporting the development or production" of chips at specific semiconductor manufacturing facilities based in China without a license.

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China's semiconductor industry is adjusting to these new restrictions.
According to Xie Xiaoming, director of the Shanghai Institute of Microsystems and Information Technology of the Chinese Academy of Sciences, China should focus on mature node technologies, such as commoditized chips for automobiles and home appliances, rather than chips, which are the latest smartphones and Provides power to supercomputers. , to avoid US sanctions.

The Chinese market is promising, even if we don't rely on state-of-the-art nodes, according to Xie, who also recommended that Chinese companies focus on enterprises with low risk and predictable returns.

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