Ad
Ad
Ad
Ad
Ad
Ad
Ad
Ad
© Pixabay
Electronics Production |

Guangdong province establishes $1.5 billion chip fund

China's Guangdong region is preparing to throw money at local chip industry companies in a bid to protect itself from US export restrictions.

Its new USD 1.5 billion chip industry subsidy is Phase II of Guangdong's Semiconductor and Integrated Circuit Industry Equity Investment Fund. It was initiated by the provincial government and two municipal government funds, according to reporting in the South China Morning Post.

Guangdong set up Phase I in December 2020, and has already pledged USD 1.3 billion to domestic companies. It's been reported that Guangdong Yuecai Holdings (a government owned venture) owns over 90 per cent of the new fund.

The Phase II investment chimes with the national government's efforts to shore up Chinese independence in the semiconductor space. The industry has been limited in its ability to import components after the US placed restrictions on shipments to mainland China. In October, the US Bureau of Industry and Security issued a new round of controls.

In response, Beijing set up the China National Integrated Circuit Industry Investment Fund, which has supported companies including Yangtze Memory Technologies Co and Semiconductor Manufacturing International Corp. The fund is believed to have distributed more than USD 40 billion. 


Load more news
February 13 2024 4:53 pm V22.3.28-2
Ad
Ad