China’s semiconductor industry is expanding तेजी as global demand for artificial intelligence infrastructure accelerates, pushing chipmakers to increase production capacity and capital spending.
Industry executives say growth is exceeding expectations, fueled by rising demand for computing power. China’s share of global production for mature-node chips—commonly used in cars, smartphones and electronics—is projected to reach 42% by 2028, up from 37% in 2026.
Artificial intelligence is also increasing complexity across the semiconductor value chain. Higher performance requirements are driving demand for advanced testing, packaging and interconnect technologies, particularly in data centers where speed and efficiency are critical.
The surge in demand is putting pressure on global supply chains, especially for raw materials and specialized components. However, China’s large-scale manufacturing ecosystem gives it an advantage in scaling production compared to many other regions.
Despite rapid domestic progress, foreign companies remain important in high-end segments of the industry. Their expertise in specialized equipment, materials and technical services continues to play a key role as China works to strengthen its semiconductor capabilities.
