As Washington imposed a series of policies and bans to restrict China's semiconductor development, Beijing is also trying to counter the US and achieve self-reliance.
Xinhua reported that Liu He, one of the vice premiers of China, said in a meeting in Beijing that Chinese President Xi Jinping urged to mobilize national resources, including public and private, to develop the semiconductor industry in China.
Regarding the public sector, according to He, Beijing will formulate policies with pragmatic goals, assist entrepreneurs, attract long-term investments, and provide equal preferential policies for domestic talents and national treatment to foreign experts to introduce and train people needed for the industry.
As to the private sector, China will provide a market-driven environment for entrepreneurs to expand globally, especially those with technical and organizational leadership abilities, and ensure a stable global supply chain.
Meanwhile, Bloomberg quoting data from Tianyancha reported that The National Integrated Circuit Industry Investment Fund, also called the Big Fund in China, would invest CNY12.9 billion (US$1.87 billion) in Yangtze Memory Technologies Co., China's major memory manufacturer under US sanctions. According to Bloomberg, the deal is the Big Fund's most important investment in recent months amid a sweeping anti-corruption campaign by the Chinese government against the fund since 2022.
Chinese media Chinastarmarket reported that according to a note from CITIC Securities, Liu's comment implies that Beijing would continue to provide incentives to critical areas, such as semiconductor equipment, components materials, and advanced chips.
The US government is trying to restrict China's semiconductor development through export bans, sanctions lists, and the formation of Chip 4. Techwire reported that the US, Japan, South Korea, and Taiwan held a meeting on February 16, following a working-group level meeting on September 2022.