Major Chinese semiconductor chip producers are looking to limit US exports of semiconductor materials by localizing supply, reports Nikkei Asia. Semiconductor Manufacturing International Corporation (SMIC), the country’s top contract chipmaker, is asking its customers—chip developers who use its production services—to help it screen, verify and adopt local suppliers of wafers, chemicals, gases and other materials. The move has been picking up speed since last year.
Similarly, ChangXin Memory Technologies, China’s leading maker of DRAM chips, has started an aggressive campaign to vet local suppliers to replace foreign ones, citing national policies.
SMIC was added to Washington’s entity list, a trade blacklist, in late 2020 and has since been exploring domestic supply alternatives to ensure continuity of production.