China gave 190 chip firms US$1.75 billion in subsidies in 2022 as it seeks semiconductor self-sufficiency
- China’s largest chip maker, SMIC, was also its biggest subsidy recipient at US$282.1 million, illustrating national priorities amid a protracted tech war
- Other top recipients include Apple supplier Wingtech Technology and equipment maker Naura Technology, although some companies received as little as US$30,000
The Chinese government doled out more than 12.1 billion yuan (US$1.75 billion) in subsidies to 190 domestically listed semiconductor companies in 2022, industry data shows, as Beijing seeks to counter escalating US sanctions targeting advanced chip-making.
The 10 largest recipients received 45 per cent of the payouts, amounting to 5.46 billion yuan, according to a report on Sunday from Chinese media outlet ijiwei, which compiled the data from Wind, a financial data provider. Corporate filings from the top 10 firms confirms the subsidy amounts.
The report only covered companies listed in mainland China, meaning either in Shanghai or Shenzhen. Many other unlisted firms have also received government support, including through loans and direct investment.
The only other company to be given more than 1 billion yuan was Sanan Optoelectronics, an LED chip maker based in the southeastern city of Xiamen, which received 1.03 billion yuan.