Covid-19 lockdown in Suzhou, a hi-tech hub in eastern China, disrupts operations at major semiconductor production base

Name: City of Suzhou newest front in China’s all-out battle against Omicron coronavirus variant
Uploaded: 2022-02-16T13:00:15.000Z
Duration: 1 min 53 s
Description: City of Suzhou newest front in China’s all-out battle against Omicron coronavirus variant

The city’s Covid-19 restrictions have temporarily halted production at major semiconductor foundry HeJian Technology Corp, owned by Taiwanese chip maker UMC

The lockdown in Suzhou reflects China’s steadfast commitment to its zero-tolerance approach to the coronavirus pandemic

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Most of the 20 major semiconductor companies located in Suzhou, a city in eastern Jiangsu province, are based at the China-Singapore Suzhou Industrial Park. Illustration: Shutterstock

Che Pan

Published: 9:00pm, 16 Feb 2022

The draconian lockdown imposed in Suzhou, the second-largest city in eastern China’s Jiangsu province, to halt the spread of the Omicron Covid-19 variant has disrupted operations at a domestic semiconductor manufacturing stronghold, exacerbating the country’s supply chain issues amid a protracted global chip shortage.

Both Silergy Corp, a global designer of analogue integrated circuits, and Shanghai-based chip design firm Sino Wealth Electronics this week flagged concerns about the production delays at semiconductor foundry HeJian Technology Corp, located inside the China-Singapore Suzhou Industrial Park, because of the city government’s lockdown action.

Production at HeJian, which makes chips for the car, consumer electronics and industrial manufacturing sectors, has “temporarily” ceased after one employee tested positive for Covid-19, according to a statement released this week by the firm’s majority shareholder, Taiwanese chip maker United Microelectronics Corp (UMC).

The Suzhou-based chip foundry said it would resume production as soon as it is cleared by local authorities.

A UMC spokeswoman on Tuesday declined further comment on HeJian’s production status.

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City of Suzhou newest front in China’s all-out battle against Omicron coronavirus variant

German multinational engineering and technology company Robert Bosch, meanwhile, said its manufacturing and logistics operations at the Suzhou Industrial Park will be affected in the short term. Local employees have been allowed to work from home, according to Bosch. The company has its automotive electronics, chassis systems control, car multimedia and machine building operations in Suzhou.