Report: China Says Chipmakers Must Use Equipment 50% Domestically Made
Beijing is ordering its chipmakers to use at least 50% domestically made equipment for adding new semiconductor capacity as part of a push to build a self-sufficient semiconductor supply chain, Reuters reported Dec. 30. Chinese chipmakers seeking approval to build or expand their chip plants have been told in recent months that they "must prove through procurement tenders that at least half their equipment will be Chinese-made," the report said. The directive is forcing Chinese manufacturers to choose domestic suppliers "even in areas where foreign equipment from the U.S., Japan, South Korea and Europe remain available."
Sign up for a free preview to unlock the rest of this article
Export Compliance Daily combines U.S. export control news, foreign border import regulation and policy developments into a single daily information service that reliably informs its trade professional readers about important current issues affecting their operations.
The report came as the U.S. maintains export restrictions on China over the most advanced chips and chip manufacturing equipment, but also after the Trump administration announced plans to approve exports of Nvidia's H200 chips to China and is considering loosening other restrictions (see 2512220064 and 2512110067).