US-China tech war: Shenzhen set to become international sourcing hub for semiconductors, electronics with new trading exchange
- The Electronic Components and Integrated Circuits International Trading Centre Co received its business licence on December 30
- The trading entity is financed by 12 state-owned enterprises and private companies
CEC and subsidiary China Electronics Information Service Co each invested 380 million yuan in the trading centre, securing a similar 17.8 per cent interest for each firm, while Shenzhen Investment injected 760 million yuan to obtain a 35.7 per cent stake. Other backers include electronics firm Shenzhen Huangqiang Industry Co, with a 3.5 per cent share, and chip firm Shannon Semi, with a 1.7 per cent stake.
The initiative comes amid tightened sanctions imposed by the US on China’s semiconductor industry, which has hurt Beijing’s ambitions for the country to achieve technological self-reliance.