China's Chipmaker SMIC Growing in Global Market Influence

The Bottom Line Upfront

China's largest chipmaker, Semiconductor Manufacturing International Co. (SMIC), has climbed to the third position globally in terms of sales, behind Taiwan's TSMC and South Korea's Samsung Foundry. SMIC saw a market share increase to 6% from 5% last year.

The Breakdown

• The rise of SMIC shows in real time China's growing influence in the global semiconductor industry and its efforts to reduce reliance on foreign technology.
• SMIC surpassed Taiwan’s United Microelectronics Corporation and GlobalFoundries
• Despite challenges like U.S. sanctions limiting access to certain technologies, experts believe that SMIC's progress reflects China’s strategic investments toward technological self-sufficiency.