7 nm Chip by China to Showcase Self-Reliance
In the ever-evolving landscape of global geopolitics and technological advancements, China is chasing self-reliance in semiconductor industry. Faced with sanctions and trade conflicts, particularly in the realm of U.S. semiconductor sanctions, China has taken substantial strides towards self-sufficiency. Recent attention has been drawn to their development of the ‘7-nanometer (nm) semiconductor,’ showcasing their commitment to technological innovation and domestic production.
China’s efforts in achieving semiconductor self-reliance are evident in the growing localization rate of semiconductor equipment, which has exceeded 40%. This rate has more than doubled in just two years, showcasing a remarkable acceleration in the country’s efforts to establish a strong semiconductor industry.
Historically, the semiconductor equipment market had been predominantly led by the United States, Japan, and Europe, leaving China heavily dependent on these nations. However, the trade conflicts and restrictions imposed by the U.S. forced China to reassess its strategies. The restrictions made it challenging for China to procure essential equipment, pushing the country to invest significantly in domestic semiconductor equipment companies like Zhongwei Semiconductor, Beifang Hwachang, and Shanghai Microelectronics.
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Equipment Sourcing by China to achieve Self-Reliance
The Chinese government has been a key driver in this endeavor, injecting substantial funding amounting to trillions to boost domestic equipment companies . This investment, coupled with increased research and development (R&D) expenditure, has propelled the growth of the Chinese semiconductor industry.
Despite progress, challenges remain, particularly in the exposure sector, which constitutes a significant portion of both time and cost in semiconductor processes. The self-sufficiency rate in this sector remains in the single digits, highlighting the technical complexity involved in the exposure process.
To compensate for the gap in advanced processes, China has focused on securing a substantial number of expensive ‘multi-patterning’ equipment and leveraging existing deep ultraviolet (DUV) technology. This strategy has borne fruit, as evidenced by the development of the 7-nano application processor (AP) ‘Giraffe 9000s,’ a notable achievement mounted on Huawei’s ‘Mate60 Pro.’
Furthermore, China has strategically acquired used equipment to bolster their facilities and meet the demands of their burgeoning semiconductor industry. This approach not only supplements their infrastructure but also aligns with their overall objective of achieving self-sufficiency.
International Talent by China to Achieve Self-Reliance
China’s investment in talent should not be underestimated. The country has long prioritized recruiting overseas semiconductor experts and fostering local talent. The influx of master’s and doctoral students in the field promises to contribute significantly to the growth and sustainability of China’s semiconductor industry.
Read more: How China Is Quietly Recruiting Top Talent to Close the Gap
Chinese-made semiconductors
In a bold move, China has recently instructed its electric vehicle companies to exclusively utilize Chinese-made semiconductors. This mandate underscores the government’s commitment to promoting indigenous technologies and expanding their semiconductor ecosystem.
In conclusion, China’s proactive approach towards achieving semiconductor self-reliance is an essential step in bolstering its technological prowess on the global stage. The nation’s strategic investments, coupled with a strong focus on talent development and domestic manufacturing, demonstrate their determination to carve a significant niche in the semiconductor industry. The ‘Giraffe 9000s’ and similar advancements are not only technological achievements but also symbols of China’s growing influence and capabilities in the semiconductor domain.
