Tech war: southwestern tech hub Chengdu offers US$72 million in subsidies to local semiconductor projects amid China’s chip self-sufficiency drive

  • The subsidies form part of 12 new policies unveiled this week by Chengdu’s municipal government to support the city’s semiconductor sector
  • It reflects a broader trend among local governments across China to pursue programmes in line with Beijing’s chip self-sufficiency drive

Ann Caoin Shanghai
Chengdu’s subsidies for its semiconductor sector will cover major projects in chip manufacturing, packaging and testing, equipment and materials. Illustration: Shutterstock
The municipal government of Chengdu, China’s inland electronics and technology hub, is offering up to 500 million yuan (US$72 million) in subsidies to local semiconductor companies for major chip projects, as more cities answer the central government’s call to boost development of the country’s integrated circuit (IC) industry amid a tech war with the US.
Local authorities in Chengdu, capital of southwestern Sichuan province, unveiled the subsidies on Thursday as part of 12 new policies to support the local semiconductor sector, according to a report by the official Chengdu Daily.
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