China Pushes Domestic Chips for EVs Amidst US Tensions
The development might have repercussions across the global IT sector, affecting chip prices and trade relationships.
In a move to lessen reliance on Western technology and to bolster its chip industry, China is urging domestic electric vehicle (EV) makers to prioritize locally produced semiconductors.
This directive targets industry giants like BYD (with a valuation of $81.17 billion), to upstarts like Nio Inc. (valued at $12.82 billion) in an aim to reduce dependence on foreign chipmakers like Nvidia.
Against this context, the Chinese government has supported the efforts of local giants like as Huawei Technologies Co. through subsidies and tailored regulations, as well as establishing a $27 billion-plus fund to boost semiconductor investments and increasing national research expenditure to more than $51 billion.
The development might have repercussions across the global IT sector, affecting chip prices and trade relationships.
