Anti-globalization Of The Semiconductor Industry Accelerates Industrial Development

Anti-globalization of the semiconductor industry accelerates industrial development

In 2021, the semiconductor market has been in short supply. In order to meet the market demand, major semiconductor manufacturers plan to expand production capacity, including TSMC, Intel have announced tens of billions of dollars in new factory investment plans. From the integrated circuit sales scale, Shanghai is China's first city chip. Shanghai has the most complete integrated circuit industry layout of Chinese mainland. At present, there are more than 700 enterprises engaged in integrated circuit in Shanghai. The integrated circuit industry in Pudong District has covered the design, manufacturing, sealing and testing, equipment, materials and other links.

In Shanghai semiconductor first city shining semiconductor star in Shanghai huahong group as a leading integrated circuit chip manufacturing enterprises, with advanced process and complete solutions, since the construction of Chinese mainland first 8 inch integrated circuit production line, currently in Shanghai jinqiao and Zhangjiang three 8 inch fabs (huahong one, two and three), monthly capacity of about 180000 pieces, in North America, Taiwan, China, Europe and Japan to provide sales and technical support. Huahong Hongli process technology covers 1 micron to 90 nm nodes, its embedded non-volatile memory (eNVM), power devices, simulation and power management and logic and RF differentiated process platforms are highly competitive in the global industry, and has many years of experience in successful mass production of automotive electronic chips. Huahong Hongli, National Integrated Circuit Industry Investment Fund Co., Ltd. and Wuxi Xihong Lianxin Investment Co., Ltd. have jointly established Huahong Semiconductor (Wuxi) Co., Ltd. in Wuxi High-tech Industrial Development Zone. Huahong Wuxi Integrated Circuit RESEARCH and development and manufacturing base is the first manufacturing project of Huahong Group integrated into the Yangtze River Delta integration high-quality development strategy, the first time to go out of Shanghai and the layout in China. It is of symbolic significance in the new 20-year development strategy of Huahong.

Semiconductor industry is a very special industry, it is highly dependent on the global supply chain, no country can fully let the semiconductor supply chain independent, the global division of labor and cooperation mode has been formed.

From the perspective of industry chain, the United States occupies the upstream position of the semiconductor industry chain, including the forefront of EDA / IP, chip design and key equipment; Japan grasps the core technology in chip design, semiconductor manufacturing equipment, semiconductor materials and other important links; Korea plays a key role in memory chip design, semiconductor materials; Europe has outstanding contributions in chip design, semiconductor manufacturing equipment and semiconductor materials; Chinese mainland has strong competitiveness in closed testing; Taiwan, China focuses on wafer manufacturing. The above countries and regions constitute the main body of the global semiconductor industry supply chain, and have a strong competitiveness in the semiconductor industry links that they are good at. Unlike the fast pace of the Internet, the semiconductor industry is an industry that needs to accumulate.

Every link of the development of the semiconductor industry needs huge investment and years of technological precipitation, and it is difficult for most countries to support the construction of the whole industrial chain. Anti-globalization allows countries to invest in basic research that may be relatively less proficient, and it is difficult for countries to devote all their energy into their respective fields of expertise, which will make the development of semiconductor technology stagnate. In addition to affecting the development of technology, the semiconductor anti-globalization trend, resulting in the waste of global industrial resources. Semiconductor is a capital and technology-intensive industry, which requires enterprises to invest a large amount of capital and talents for a long time to develop technology. For many countries, it is difficult to support such a huge capital investment, and not every country or region can succeed in investing in the semiconductor industry. If many countries build their own industrial chains, it will undoubtedly increase the cost of the global semiconductor industry and reduce the return on investment. And the pattern of the semiconductor industry concentrated in a few countries and regions will not change in the future.

Perhaps in the new pattern of semiconductor industry development, enterprises will reduce the length of the semiconductor supply chain and choose to give local suppliers opportunities, thus promoting the construction of the domestic semiconductor industry chain, which has become an important trend at present. At present, China has become the largest semiconductor market, and continues to maintain the fastest growth rate. With the breakthrough of domestic semiconductor core material technology, it is expected that China's semiconductor material market demand will be released. In the face of many current challenges, how to improve the supply chain risk resistance ability, balance the needs of national security, adhere to the global resource allocation, and emphasize the open market access, is still the key for the semiconductor industry to move forward in the challenges.