China now has over 45,000 registered businesses relating to chip design, testing, development and manufacturing, and newly registered businesses in the chip industry have grown 200 per cent in the second quarter of 2020 alone compared to a year earlier. Photo: Reuters
Opinion
Opinion
China’s push to boost local chip industry could backfire by creating excess capacity
- China is trying to be self-sufficient as it prepares for a long-term economic, technological and geopolitical rivalry with the United States
- But a similar plan adopted a decade ago to grow seven key industries, including electrical vehicles, was not entirely successful
China now has over 45,000 registered businesses relating to chip design, testing, development and manufacturing, and newly registered businesses in the chip industry have grown 200 per cent in the second quarter of 2020 alone compared to a year earlier. Photo: Reuters
