Chinese chips are starting to enter overseas markets

time：2023-04-27

　　The United States has formed an alliance with Japan and the Netherlands to prevent ASML, Nikon, and others from supplying lithography machines to China, and Tokyo Electronics from supplying chip materials to China, in an attempt to prevent the development of Chinese chips. However, the reality is that Chinese chips have made tremendous progress and have also entered the international market and gained recognition.

　　Since 2019, Chinese chips have made significant progress, breaking the gap in many chip industries. The daily production capacity of chips has exceeded 1 billion, and the self-sufficiency rate of Chinese made chips has rapidly increased to over 30%. With the increasing competitiveness of Chinese chips, Chinese chips not only meet domestic demand but also begin to enter the international market.

　　In September 2022, two US lawmakers demanded that US manufacturers not use Chinese chips. However, US home appliance manufacturers stated that they cannot do without Chinese chips, which could lead to a significant increase in the prices of household appliances such as toasters and washing machines, ultimately forcing the US to modify chip rules. US home appliances and other products can continue to use Chinese chips, and only in some special areas must use American chips.

　　In terms of chip packaging, China has also made tremendous progress. Two Chinese chip packaging companies have mass-produced 5nm and 4nm packaging technologies, which are the world's most advanced packaging technologies. Due to their chip packaging technology being advanced enough, American chip giant AMD has placed orders with Chinese chip testing companies for several years of cooperation.

　　In terms of the chip industry chain, China has completed seven of the eight major links in chip manufacturing, all reaching 14 nanometers. Among them, the most advanced etching machine has reached 5 nanometers, and the etching machine produced in China has been recognized by TSMC. These all indicate that the competitive strength of Chinese chips has made tremendous progress, and the Chinese chip industry has begun to move towards overseas markets.

　　The restriction imposed by the United States on companies from Japan and the Netherlands this time is the last link in the current Chinese chip industry chain - lithography machines. ASML is the only company in the world that can produce EUV lithography machines, while Nikon and ASML almost monopolize the global DUV lithography machine market. The United States is trying to seize this crucial and ultimately hindering the development of Chinese chips to restrict Chinese chips.

　　However, Chinese chips will not sit idly by. In fact, in recent years, Chinese chips have also been actively developing many chip technologies. SMIC International's 55 nanometer BCD process has reached a world leading level, surpassing the founder of BCD technology, Italy France Semiconductor; China is still developing chiplet technology, and SMIC's SAQP technology, among others, can improve the performance of 14 nanometer chips to nearly 7 nanometers, meeting nearly 90% of domestic chip demand.

　　It is not feasible for the United States to prevent China from developing advanced chip technology by restricting ASML's sales of EUV lithography machines to China, as chip companies in Japan and the United States are both doing so, bypassing the development of 7 nanometers and more advanced processes in EUV lithography machines. China has also made significant progress.

　　What is even more shocking to the overseas chip industry is China's progress in more advanced quantum chip and photonic chip technologies. China has established the world's first production line for quantum chips and photonic chips, with quantum chips achieving full localization in equipment, materials, and EDA software, demonstrating that China has improved the industrial chain of these advanced chip technologies from the beginning to avoid being constrained by others, With the mass production of these advanced chip technologies, China is even expected to gain a dominant position in global chip technology, and at that time, the United States will no longer be able to influence the development of China's chip industry.

　　The development of these technologies proves the self-reliance and self-reliance of the Chinese chip industry. Chinese chips now have a strong foundation, and the measures taken by the United States only further stimulate the potential of Chinese chips and accelerate the development of Chinese chip technology. On the contrary, the United States still indulges in leading the current position of chip technology, which will only lead to the stagnation of American chips. In fact, this complacency in the United States has led to its backwardness in advanced technology, The consequence of American chips stalling will only be being overtaken globally.

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