YMTC had been hit hard by export controls on chip-making machinery, imposed by the US Commerce Department last October, which aim to cap China’s logic semiconductor production at the 14-nanometre node process, and DRAM and NAND flash at 18-nm and 128 layers, respectively.
Chip manufacturing equipment is displayed at the American Tec booth during the opening of trade show Semicon China in Shanghai on June 29, 2023. Photo: Reuters
YMTC’s Chen highlighted in his speech how “harmonious” globalisation is threatened, as geopolitical tensions have affected market competition, innovation and technology standards, supply chain, mobility of talent and allocation of resources.
Over the past 30 years, China’s semiconductor market has developed rapidly with more than 80 per cent of the market supplied by foreign companies, according to Chen. Similarly in the US, more than 60 per cent of chip products come from non-American companies.
“This demonstrates that the globalisation of markets and competition are significant driving factors for the development of our industry,” Chen said.
He indicated that nearly 50 countries are directly or indirectly involved in the global industrial system, forming a balanced global supply chain.
But with traditional resource allocation being disrupted, Chen said there has been an increase in resources and investments flowing into the US and countries that were not considered major chip hubs before, including Singapore, India, Malaysia and Vietnam.
As countries like the US, Japan and South Korea double down on manufacturing capabilities, he warned that these economies could see an oversupply in chip production facilities.
About 1,100 companies are expected to take part in Semicon China, which concludes this Saturday, according to event organiser Semiconductor Equipment and Materials International.
