China gives chipmakers easier subsidy access to help guide industry recovery - FT (updated)

Hua Hong Grace Semiconductor

21/03/2023 03:53

(Adds details from report, background)
       March 21 (Reuters) - China is facilitating easier access
to subsidies and more control over state-backed research for a
handful of its chip companies, the Financial Times reported on
Tuesday.
    Chipmakers such as Semiconductor Manufacturing International
(SMIC)  0981.HK , Hua Hong Semiconductor  1347.HK  and Huawei,
as well as equipment suppliers like Naura  002371.SZ  and
Advanced Micro-Fabrication Equipment Inc China 688012.SS  might
benefit from the policy, the report added citing people familiar
with the matter.
    Reuters had reported in December that China is working on a
more than 1 trillion yuan ($145.34 billion) support package for
its semiconductor industry, amid tightening U.S. restrictions
aimed at slowing its technological advances.
    The chosen firms will have access to additional government
funding without having to achieve previously necessary
performance goals, the report said, adding that they will also
be allowed to play a bigger role in state-sponsored research
projects.
    


($1 = 6.8803 Chinese yuan renminbi)

 (Reporting by Kanjyik Ghosh in Bengaluru; Editing by
Muralikumar Anantharaman)
 ((Kanjyik.Ghosh@thomsonreuters.com;))