China pours vast sums into massive semiconductor production fund
The Chinese government has poured an astonishing sum of money into a gigantic industrial fund to support the manufacturing of computer chips. The Ministry of Finance, along with various state-owned banks, pooled together 344 billion yuan, translating to around 44 billion euros, into what's called the National Investment Fund for the Integrated Circuit Industry (ICF), said Tianyancha, a service provider.
This ICF was formed in 2014, with the second investment cycle commencing in 2019. The total amount in the third investment phase goes beyond the combined investment in the first two stages.
The semiconductor industry plays a pivotal role in the race between China and the US for supremacy in tech innovation. Chips are crucial components in multiple industries, including household appliances, mobile phones, automobiles, and weaponry.
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The National Investment Fund for the Integrated Circuit Industry (ICF), which receives significant funding from the Chinese government and state-owned banks, aims to boost chip production in China. With an initial investment of 344 billion yuan in 2014, the fund has continued to grow, surpassing the combined investment from its first two stages in the third investment phase. This substantial investment in the ICF could potentially position China as a major player in the global semiconductor industry, supporting industries like technology, automotive, and defense.
Source: www.ntv.de
