China buys more chip tools than South Korea, Taiwan, U.S. combined

Record $25bn spent in first half in Beijing push to develop local supply chain

A server chip made by China Semiconductor Manufacturing Corp., one of the companies driving China's record investment in chip production. © Getty Images

CHENG TING-FANG and LAULY LI, Nikkei Asia tech correspondents

September 2, 2024 19:52 JST

TAIPEI -- China spent more on chipmaking equipment in the first half of the year than South Korea, Taiwan and the U.S. combined amid a frantic push to localize chip supplies and mitigate the risk of further Western export restrictions, according to global chip industry association SEMI.

China, the world's biggest semiconductor equipment market, spent a record $25 billion on chip tools in the first six months of 2024, SEMI data showed. China maintained robust spending into July, and could be on track for another full-year record.