China targets higher chip self-sufficiency to reduce US reliance, says Nikkei

Some local governments in mainland China aim to increase semiconductor self-sufficiency to reduce reliance on the US, with Beijing striving to achieve 100 percent by 2027, Nikkei Asia reported.

The plan followed the guidelines of China's leadership. In April, the Politburo of the Chinese Communist Party held a group study session on artificial intelligence and proposed policies to support the development and production of AI semiconductors and other technologies. 

Though China is getting rid of its dependence on Nvidia's products and turning to home-made chips such as Huawei, DeepSeek had delayed the release of its new model after failing to train it using Huawei's chips, the Financial Times earlier reported.

Currently, local governments are urging technology enterprises to switch to domestic production, with ByteDance considering adopting Huawei products, according to the report.

In addition, TSMC plans to exclude the chip-making equipment made in China in its latest 2-nanometer production line, to clear a potential hurdle related to the restrictions from the US, Nikkei Asia reported.

The decision was related to a potential new regulation from the US, which could prohibit chip manufacturers that receive US funding or financial support from using Chinese manufacturing equipment.

HELEN ZHONG