China Mandates 50% Domestic Equipment for Chip Plants, Boosts Self-Reliance

• China now requires new chip plants or capacity expansions to use at least 50% domestic equipment.
• The rule aims for semiconductor supply chain self-reliance, accelerated after 2023 US export restrictions.
• Applications with less than 50% domestic equipment are often rejected, with some exceptions for advanced chip lines.
• Domestic companies like Naura and AMEC are significantly benefiting, seeing revenue growth and increased orders.
• China has invested 344 billion yuan in its Big Fund and achieved nearly 50% self-sufficiency in certain equipment.

Why It Matters: China's new rule mandates 50% domestic chip equipment, driving self-reliance and boosting local firms.