China Increases Localization of Chipmaking Tools, But Still Lags Behind

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China has made significant strides in its semiconductor sector development, with over 40% of its manufacturing equipment now being locally produced, according to a DigiTimes report that cites data compiled by Bloomberg. This growth, fueled by significant R&D investments and governmental support, has doubled in just two years. However, there’s still a reliance on foreign lithography tools, as Chinese companies can barely produce competitive scanners.

Recent reports from Korean media ‘Ddaily’ highlight that China’s push for self-reliance in the semiconductor equipment sector has seen its localization rate surge to over 40%, a significant uplift from 21% in prior years. This rate has extended to over 50% in specific areas like physical vapor deposition (PVD) and oxidation.

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