China injected more than US$47 billion into an investment fund to strengthen its integrated circuit industry, with a view to increasing its autonomy in this sector, according to a database consulted by AFP on Monday.
Chips made with semiconductor materials are essential for many products in the modern economy, from televisions and cars to weapons, telephones and artificial intelligence.
These components are at the heart of a bitter rivalry between China and the United States for their miniaturization and the supply of a highly strategic sector.
In recent years, Washington has blacklisted Chinese companies to exclude them from American technology supply chains and tightened restrictions on the export of microchips to China.
Since then, the Asian giant has been trying to accelerate the development of its integrated circuits, whose performance continues to be lower than those produced by the United States, among others.
The Chinese Ministry of Finance, state banks and several companies injected 344 billion yuan ($47.48 billion) into a national fund, according to the Tianyancha database, which compiles information in China on companies.
Chip manufacturing is extremely complex and involves many countries.
Many stages depend on the United States, as well as the Netherlands and Japan, whose companies practically have a monopoly on the production of lithography machines, essential for the miniaturization of chips into very thin sheets of silicon.
This gives a greater advantage to these three countries that have considerable influence over world production.
The Netherlands recently joined the United States and Japan in restricting the export of advanced chip-making equipment to China.
IT MAY INTEREST YOU
Source: Gestion
Ricardo is a renowned author and journalist, known for his exceptional writing on top-news stories. He currently works as a writer at the 247 News Agency, where he is known for his ability to deliver breaking news and insightful analysis on the most pressing issues of the day.
