Chinese IC companies have had $20.5 billion of equity investment committed to them so far this year, led by the $6.5-7.5 billion to be raised from the sale of SMIC shares, reports the Nikkei.

Last year’s investment in the sector was $9 billion.

As wll as central government funds,  Shanghai and Beijing have also set up their own funds to invest in the industry.

China is still pursuing its ‘Made in China 2025’ target to have 70% of its chip usage made in China, by Chinese companies, in 2025.

However IC Insights reckons that China will only be making 20% of its usage in 2024.

 With the USA having control over the supply of chip-making equipment, it is difficult to see how China can substantially increase its IC output if the US decides to prevent it.