China readying $143 billion package for its chip firms in face of U.S. curbs, reports Reuters
HONG KONG(Reuters) – China is working on a more than 1 trillion yuan ($143 billion) support package for its semiconductor industry, three sources said, in a major step towards self-sufficiency in chips and to counter U.S. moves aimed at slowing its technological advances.
Beijing plans to roll out what will be one of its biggest fiscal incentive packages, allocated over five years, mainly as subsidies and tax credits to bolster semiconductor production and research activities at home, said the sources.
It signals, as analysts have expected, a more direct approach by China in shaping the future of an industry which has become a geopolitical hot button due to soaring demand for chips and which Beijing regards as a cornerstone of its technological might.
