China will produce one in five of the chips it uses in 2026, says analyst

China’s integrated circuit (IC) production has failed to keep pace with its appetite for silicon, with market research firm IC Insights predicting the nation will produce only one in five ICs it uses in 2026. That figure is an increase from 2021's one in six, and reflects eight percent compound annual growth rate from 2021 to …

[martinusher]

Kind of predictable

My news feed told me this morning that SMIC is producing 7nM geometry chips using extreme UV lithography. The article also mentioned that increasing Chinese production had resulted in a drop in sales of their external suppliers.

This is what I predicted would happen. Its not that I'm a super pundit, graced with deep industry knowledge or anything like that, but it stands to reason that if you choke off sales of product to China then they're going to come up with local product. There might be a short term hiccough in production due to the political disruption but once their production comes online you'll find that what was once a lucrative export market has dried up.

Now, how can we get our politicians to get smart about this sort of thing? I'm not optimistic they'll ever figure things out and since its easier for them to just tell us all that our chocolate ration has been increased (even though its in a smaller package) I daresay I'm staring at our none too bright future.