To Expand Market Share
Chinese semiconductor manufacturers, including YMTC and CXMT, are concentrating on low-price memory chip products with the global chip shortage ongoing.
Their purpose is to raise their market share by taking advantage of the shortage and supplying more. According to industry sources, their share in the global low-price memory chip market may reach 29 percent or so next year based on the attempt.
China has invested no less than 170 trillion won in its semiconductor industry since 2015. It is aiming to raise its self-sufficiency in the industry to at least 70 percent by 2025. It is seeking M&A deals in the United States, Japan and Europe to that end.
However, China’s semiconductor technologies are still inferior to those of the United States, South Korea and Taiwan and China’s self-sufficiency goal is unlikely to be met with the United States continuing to keep it in check. According to market research firm IC Insights, the self-sufficiency is likely to stand at 19 percent in 2025 and the figure is estimated at 10 percent or so without the sales of foreign companies such as TSMC, Samsung Electronics and SK Hynix.