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China’s semiconductor output hits record high as Beijing boosts local production amid intensifying US-China tech war
- China’s integrated circuit output surpassed 30 billion units in June, a 44 per cent increase over the previous year
- Demand for advanced chips from overseas remains high, with imports up nearly 30 per cent for the month, as Beijing pursues semiconductor self-sufficiency
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China’s output of integrated circuits (IC) reached an all-time, single-month high in June as the country spares no effort to produce chips amid a severe global shortage of semiconductors, according to data released by the central government on Thursday.
China’s IC output reached 30.8 billion units, surging 43.9 per cent from the same month a year ago and beating the previous record of 29.9 billion units in May, according to data from the National Bureau of Statistics. The numbers mark the first time China has produced an average of 1 billion semiconductor units per day in a single month.
For the first half of the year, China produced 171.2 billion integrated circuits, up 48.1 per cent year on year, according to the statistics agency.
Despite record output, Chinese production alone remains insufficient to meet local semiconductor demand. In the first six months of the year, China imported more than 310 billion semiconductor devices, a 29 per cent increase from the same period in 2020, according to data released by the General Administration of Customs on Tuesday. In June alone, China imported 51.9 billion semiconductor units, nearly twice the country’s domestic output.
China also continues to contend with the global chip shortage that has roiled semiconductor-reliant markets.
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