Import substitution in the Chinese semiconductor industry has stalled

Some sanctions against Huawei Technologies US authorities were not limited to, recent list of companies, whose actions cause damage to US national security interests, We got five more Chinese structures, some of them have a joint business with AMD in China. Profile joint ventures exist with 2016 of the year, they adapted AMD Zen architecture of the first generation to the needs of the Chinese server market and have only recently begun to deliver CPUs brand Hygon.

According to the publication Nikkei Asian Review, such actions of the US authorities have questioned China's ability to 2020 year 40 % provide themselves with microprocessor components of local origin. The next step "in Chinese import substitution" had to be to increase this figure to 70 % to 2025 year. Representatives of the Chinese microprocessor industry on condition of anonymity, expressed doubts about the ability of local developers to advance in the creation of modern processors without US equipment, software, Materials and Technologies. Among the equipment and materials, that are available in China, the success of the local semiconductor industry is not determined, experts say.

Import substitution in the Chinese semiconductor industry has stalled

"Domestic resource" in Chinese microprocessor industry used no more 15 %, according to representatives of TrendForce. Current international cooperation is too strong in its structure, to a particular state in a short time could provide themselves with everything needed to create a competitive processors.

How to recognize the Chinese manufacturers of server hardware, local development inferior to Intel processors as the products on speed, and on reliability. financial sector enterprises avoid buying servers based on processors of Chinese, as for their stability information systems is the highest priority.

According to IC Insights reports, the share of the Chinese manufacture of semiconductor products 2018 year accounted for no more than 15 % gross domestic product. according to the forecasts, this share exceeds 20 % only 2023 year, and the effects of US sanctions China has to deal now.

Import substitution in the Chinese semiconductor industry has stalled

Growth rate of Chinese economic indicators development of processors for the first time 2014 year may not reach the line 20 percent. For high-end servers Chinese customers continue to use imported processors, Since the development of Chinese companies are not only inferior to foreign on speed, but are on 50 % expensive, least. In turn, Chinese developers processors complain of low demand, which does not allow them to increase production for the sake of reducing production costs, as well as expand the range of customers, to accelerate the improvement of their designs on real users reviews.

To break this vicious circle, the Chinese authorities will try to, who will own example to demonstrate the Chinese companies need to purchase domestic processors. The latter will be procured for state needs, indirectly stimulating demand from private Chinese companies.

Rate article
IT News
Add a comment