Tech war: Chinese chip maker CXMT warns of harm arising from anti-globalisation sentiment to semiconductor industry innovation
- CXMT chief executive Zhu Yiming sees anti-globalisation hurting the capability of semiconductor companies to pursue innovation
- US export controls are ‘having a more chilling impact on the industry than expected’, according to the Semiconductor Industry Association
“Anti-globalisation will harm the capability and speed of innovation in the integrated circuit industry chain,” Zhu said. “[We] hope that semiconductor industry players can continue to promote cooperation [across supply chains worldwide] with a more open attitude.”
“Not a single country, either in terms of supply chain or market size, is enough to support the huge investment [needed] in the integrated circuit industry,” Zhu said.
The updates add new licence requirements for items destined to arrive at Chinese chip foundries, which will face a “presumption of denial”. By comparison, mainland chip fabrication facilities owned by multinationals will be decided on a case-by-case basis.
Neuffer said the latest export rules came as a surprise to the semiconductor industry and created “pain” for many firms across the supply chains in China and the US. He added that US companies have projected billions of dollars in potential financial losses over the next 12 months.
“These tensions have created significant risks for our industry,” Neuffer said. “It is simply not great for business that the world’s two largest economic players have so many unresolved issues.”
He asserted the industry’s belief that “not all chips pose a national security risk” and that “any export control regime should be as targeted as possible to avoid unintended consequences and supply chain disruptions”.
Other senior executives from major US chip companies, meanwhile, played up continued business opportunities in China, the world’s largest semiconductor market, but without pointing out the impact of US trade curbs.
The company is betting on chips for high-performance and adaptive computing, Pan said, without mentioning specific applications in the mainland market.