China is the world's largest semiconductor market, but local manufacturers have developed slowly. In addition to Semiconductor Manufacturing International Co. (SMIC) outside China do not breed with other large semiconductor companies to compete worldwide manufacturers, semiconductors made in the proportion of about 30% remained. The reason is China's semiconductor manufacturers in the circuit microfabrication technology has not been able to catch up with the world advanced level, it also allows the Chinese government put forward industrial upgrading headache. According to industry group the China Semiconductor Industry Association data, in 2012 China's semiconductor market was 982.62 billion yuan, accounting for 54.1% of global demand. Demand from the semiconductor can prove that China is a very focused automotive and appliance manufacturing "world factory."However, China did not breed to local manufacturers to meet this demand. After the year 2000, in order to achieve industrial upgrading, the Chinese government put forward before 2010 to increase the proportion of domestic semiconductor to 50% target. In fact, the Chinese have been established at a number of semiconductor manufacturers, but SEMI China analyst He Xinyu said that these companies have been in microfabrication technology than two generations behind large companies around the world predicament. As of 2012 the proportion of domestic semiconductor is only 36.1%. Moreover, this figure also includes the foreign-funded enterprises in China's semiconductor production.In China, 2012 is the highest Korean semiconductor production SKHynix's Chinese subsidiary. The company in Wuxi City, Jiangsu Province, the production of semiconductor memory DRAM. Production is ranked second in the United States subsidiary of Intel China, in Dalian, Liaoning Province in PC semiconductor chipset business. For other companies semiconductor foundry SMIC ranked third in the world, but in Chinese semiconductor companies occupy the top spot. While China Resources Microelectronics in fourth place after the foundry business, the size of its sales is less than one-third of SMIC.According to U.S. research firm IHSIsuppli statistics, in 2012 the proportion of mainland China's domestic semiconductor actual 17.5%. Nevertheless, the current industrial structure is still mostly dependent on the daily South Korea Taiwan Semiconductor and other places imports. However, the semiconductor is considered a core component electronics.Chinese manufacturers to develop one of the reasons behind that, due to shortage of talent in the technical aspects, etc. can not catch up with the world advanced level. In addition, the semiconductor industry has its unique features, Taiwan one vendor executives said: "The higher price per unit weight of product, even from overseas by air, but also profitable."However, smart phones and tablet PCs are likely to spur the popularity of a higher proportion of Chinese-made semiconductors. This is because, compared with the PC, Huawei Technologies and other Chinese manufacturers in these two areas of the market higher, Isuppli analyst Gu Wenjun said that China in the semiconductor procurement will have a greater say.SMIC plans to re-enter the Japanese market. In order to get from the Japanese manufacturer of semiconductors for smart phones and other OEM orders, has already started marketing activities. This is also followed this trend. Hitachi High-Tech Shanghai Persimmon chairman Hideo wells that perhaps the Japanese semiconductor manufacturing equipment manufacturers, which are necessary for growth of China as the biggest market to be concerned about.
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