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China mandates 50% domestic equipment rule for chipmakers, sources say
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SINGAPORE – China is requiring chipmakers to use at least 50% domestically made equipment for adding new capacity, three people familiar with the matter said, as Beijing pushes to build a self-sufficient semiconductor supply chain.
The rule is not publicly documented, but chipmakers seeking state approval to build or expand their plants have been told by authorities in recent months that they must prove through procurement tenders that at least half their equipment will be Chinese-made, the people told Reuters.
The mandate is one of the most…
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