The semiconductor confrontation between China and the United States is deepening, and China can only find a way out in General Semiconductor.

The Asia Times reported on May 4th that the United States is attracting production facilities from global semiconductor companies, while China is also looking for a way out for universal semiconductor production, leading to a deepening confrontation between Chinese and American semiconductors.

According to the South Korean industry, due to intensified competition between China and the United States, the global semiconductor supply chain is rapidly restructuring.

Based on 2020, over 80% of high-end semiconductor manufacturing work is carried out in the Asian region.

Although the United States holds a high share in high value-added fields such as semiconductor design, manufacturing equipment, software, and research and development, its manufacturing capacity only accounts for 12%.

Recently, the United States has provided subsidies to companies such as Intel, TSMC, and Samsung Electronics, attracting a large number of high-end semiconductor manufacturing factories, demonstrating its ambition to reduce its dependence on foreign production.

Advanced semiconductors are widely used in almost all modern industrial, commercial, and military systems, thus directly related to national security.

In the semiconductor industry, the AI semiconductor market for developing artificial intelligence (AI) models has recently grown rapidly and has become part of the dominant power struggle between countries.

The US's attempt to restrict China's cutting-edge semiconductor production is also related to this.

China is seeking opportunities in the general semiconductor market to counter US restrictions.

According to statistics from the International Semiconductor Industry Association (SEMI) in the fourth quarter of last year, 109 new wafer fabs will be put into use from 2022 to 2026, with China having the most factories, reaching 44, more than twice the number in the United States.

China has encountered difficulties in obtaining core technologies for ultra fine engineering such as extreme ultraviolet (EUV) devices, and is therefore focusing on acquiring universal semiconductor manufacturing equipment to establish a self-sufficient semiconductor system and increase DRAM shipments.

According to Counterpoint Research, China's semiconductor shipments increased by 31% year-on-year last year, accounting for one-third of the total system semiconductor sales last year.

According to S&P global data, China accounts for 30% of the sales of the top ten semiconductor companies worldwide, surpassing 25% of the United States.

Market research firm Trend Force predicts that China's global share in the general semiconductor field will increase from 29% last year to 33% by 2027.

More and more people believe that China will play a core role in the semiconductor supply chain, based on universal technology.