LACKING a well-developed infrastructure, China is missing out on the trend by foreign chip-makers to shift design and production to local markets, says Keh-Shew Lu, Texas Instruments Asia president.
''China simply cannot support the high level of controlled conditions needed in wafer fabrication,'' he said.
Texas Instruments has invested US$2.9 billion in Asian operations, including joint ventures which have a projected total investment of $4.1 billion by 2000.
Mr Lu said wafer-making depended on exact conditions and pure chemicals, which could only come from a sophisticated infrastructure.
''The problem in China is every province is setting up wafer fabrication. The government needs to assign an industry area. Concentration of industry will build up a strong infrastructure,'' said Mr Lu.
Sin Chou Science Park, which was set up by the Taiwanese Government, is the production site of a number of chip-makers, including Texas Instruments.