bodyType

customContents

entityId

entityUuid

articlePageQuery

filter

article

articleBaseAdvertisingInfoArticle

articleListArticle

articleSeoArticle

hooksArticleAcknowledgementGateOverlayArticle

hooksTrackPageViewArticle

hooksContentInterestArticle

articleLinkingDataContent

hooksAmpRedirectArticle

articleSchemaContent

liveArticle

advertZone

sentiment

contentLock

topics

types

sections

paywallTypes

createdDate

publishedDate

urlAlias

moreOnThisArticles

sponsorType

commentCount

authorLocations

authors

corrections

displaySlideShow

multimediaEmbed

printHeadline

seriesContainer

articleSpeeches

socialHeadline

headline

images

flag

firstTopic

glossary

flattenTypeIds

image

relatedLinks

relatedNewsletters

__typename

sponsor

pdfFiles

seriesReverseOrder

series

disableOffPlatformContent

published

updatedDate

summary

subHeadline

body

keywords

readingTime

customTimezone

liveContents

Bloomberg

China said it cut taxes for semiconductor makers, lending new support for the pivotal industry just as US President Donald Trump weighs tariffs on the sector amid rising trade tensions.
The new rules cover a broad swathe of semiconductor companies. They will be exempt from corporate income taxes for up to five years starting January 1, the Finance Ministry said in a statement on Friday. Tax rates after that will then be half of the current 25 per cent through the 10th year.
The tax breaks follow tax cuts announced on Wednesday to benefit high-end manufacturing and innovation-driven technology companies supported by the “Made in China 2025” plan: a blueprint for the country to sharpen competitiveness in emerging industries, from information technology to aerospace.
Beijing has long tried to elevate its semiconductor industry.
China wants to reduce a reliance on some US$200 billion of annual semiconductor imports, which it fears undermines national security and hampers the development of a thriving technology sector.
What happens to ‘Made in China 2025’ as trade war fears grow
The country envisions spending about US$150 billion over 10 years to achieve a leading position in design and manufacturing, an ambitious plan that US executives and officials warn could harm American interests.
While officials have suggested their initial vision of attaining a global lead may be unrealistic, the government remains intent on finding ways to reduce imports as the world’s largest consumer of semiconductors.
For starters, a key Chinese government fund is said to be aiming to raise as much as 200 billion yuan (US$32 billion) to invest in home-grown chip companies and accelerate the country’s ambition of building a world-class semiconductor industry.
China has been offering lower taxes for integrated circuit companies since at least 2012 to encourage the development of the technology.
Requirements of companies eligible for the deduction were revised in Friday’s statement to include more up-to-date technology.
C


Trump sets 180-day deadline to counter China’s control of critical minerals

White House says Biden decision to scrap China Initiative flawed

Trump administration faces backlash over Nvidia H200 AI chip sales to China

Huawei reclaims top spot over Apple in China smartphone market after chip breakthrough

Technology

China cuts taxes for chip makers to promote industry development

A broad swathe of semiconductor companies in China will be exempt from corporate income taxes for up to five years from January 1, according to the Ministry of Finance Ministry on Friday.

What happens to ‘Made in China 2025’ as trade war fears grow

The objective of China’s version of the Fourth Industrial Revolution is to make the country more self-sufficient in a range of technologies and activities

A technician debugs a robot in Rui'an City, east of China's Zhejiang province in January this year. The government’s “Made in China 2025” strategy for industrial modernisation aims to support the country’s transformation from a manufacturing hub into one of next-generation technological breakthroughs. Photo: Xinhua

Balancing act: Chip giant Qualcomm caught between Washington and Beijing

Qualcomm, which owns more 5G patents than any other company in the world, is a key supplier to the US government as well as to China’s vast telecommunications industry

FILE - In this Thursday, Nov. 2, 2017, file photo, Broadcom CEO Hock Tan speaks while U.S. President Donald Trump listens, in background, during an event at the White House in Washington, to announce the company is moving its global headquarters to the United States. Broadcom says it’s dropping its $117 billion buyout bid for rival chipmaker Qualcomm, following Trump’s decision to scuttle the proposed combination due to national security concerns. (AP Photo/Evan Vucci, File)

A display in the booth of Qualcomm at the Mobile World Congress in Barcelona last month. Qualcomm’s most lucrative market is China, where the company receives patent licensing fees from various smartphone suppliers. Photo: Reuters

American semiconductor firm Xcerra calls off sale to Chinese fund after hitting US regulatory wall

Xcerra has decided to call of its sale to China’s Hubei Xinyan Equity Investment Partnership after meeting resistance from US federal regulators. Photo: Reuters

Bullish on chips: Everbright’s fund earmarks US$500 million to invest in semiconductors

The joint initiative with venture capital firm Walden International promises to heat up China’s pursuit of semiconductor assets worldwide

Chen Shuang, Rotating Chairman of China Mergers and Acquisitions Association / Executive Director and Chief Executive Officer of China Everbright Limited, at the China Go Abroad: Strategic collaboration on how inclusive management helps Chinese enterprises win overseas at the CCB Tower in Central. 10AUG17 SCMP / Nora Tam

China Everbright has teamed up with investment firm Walden to launch a fund to invest in the global semiconductor industry. Photo: Shutterstock

Here are the three sectors in China with the most billionaires ... and e-commerce is not one of them

Pharmaceutical biotech, property, and semiconductor and electronics manufacturing are the three sectors that had the most number of billionaires in China in 2017

Pony Ma Huateng, founder and chief executive of Tencent, is China’s richest man, according to a list compiled by mainland media Jiemian. Photo: Xiaomei Chen