China boosts semiconductor production in 2020, but imports keep apace, frustrating self-sufficiency goals
- Integrated circuits, industrial robots and new energy vehicles saw double-digit growth in 2020, according to the National Bureau of Statistics
- While China is pushing for technological self-sufficiency, some analysts say the country remains far from its goal
China’s production of integrated circuits and industrial robots surged in 2020, as the country boosted its output of hi-tech products amid tighter US restrictions, according to official industrial statistics. A similar growth rate in imported chips, however, suggests China remains far from its goal of self-sufficiency in the critical technology.
The country’s output of integrated circuits surged 16.2 per cent in 2020, a sharp acceleration from the 7.2 per cent rise in 2019. Industrial robot production also increased, jumping 19.1 per cent. New energy vehicles were another bright spot, with production expanding 17.3 per cent from last year.
“Industrial automation or smart factories, new energy vehicles and semiconductors that can help power next-generation technologies in all areas are among the most critical national objectives in the 14th five-year plan,” said Edison Lee, an equity research analyst for telecoms services at Jefferies Asia.