Skip to main content

China's semiconductor industry has produced 203.6 billion chips in 2021 so far

NZXT N7 B550
NZXT N7 B550 (Image credit: Windows Central)

What you need to know

  • The global chip shortage is affecting most tech companies as well as countries.
  • China is one such country.
  • Its chip output, though hampered by certain factors, is still shattering previous years' figures.

China may have headaches to deal with when it comes to the semiconductor space, be they general shortage issues or U.S. sanctions, but that isn't stopping the country from hitting record-high integrated circuit (IC) production figures.

According to the South China Morning Post, China has produced 203.6 billion chips within the first seven months of 2021 (via Tom's Hardware). That's a 47.3% year-over-year boost compared to the same time in 2020. Just in July, Chinese semiconductor companies managed 31.6 billion units — a new monthly record.

This is all part of China's larger plan to become as technologically independent as possible amid its chipmaking war with the U.S. With over 200 billion units produced and still five months of 2021 to go, it's not hard to see the concerted effort the country is making to cut itself off from relying on the outputs of other nations.

In order to achieve the figures it has, China has had to overcome the general resource limitations at the root of the global semiconductor shortage situation, as well as various sanctions imposed on its companies by the U.S. Said sanctions have played a role in threatening the stability and operational efficiency of various Chinese tech companies, be they Semiconductor Manufacturing International Co. (SMIC), Huawei, or one of the other Chinese businesses finding operating harder thanks to the actions of the United States.

Chip shortages are affecting people all over the world across a variety of industries, and are even having trickle-down effects for software such as Windows 11. It remains to be seen how effectively China's efforts to combat said shortages will alleviate such issues in the country.

Robert Carnevale is the News Editor for Windows Central. He's a big fan of Kinect (it lives on in his heart), Sonic the Hedgehog, and the legendary intersection of those two titans, Sonic Free Riders. He is the author of Cold War 2395. Have a useful tip? Send it to robert.carnevale@futurenet.com.

6 Comments
  • I've said it before and say it again. The USA is losing its number 1 spot and China is going to become the new super power. One said of me says good on them for not holding back when someone has tried too. With companys like Huawei making it's own os definitely going to be interesting going forward to see how the west adapts to the Chinese based software. When all said and done the USA forced this on them self's.
  • I'll take anything that came out of the propaganda department of the CCP with a grain of salt. This piece of news appearing in Windows Central is rather odd to me.
  • How is this propaganda? Just because it doesn't say China's evil? That logic, is the biggest propaganda
  • The US, Japan, South Korea and Taiwan dominate the semiconductor business. Besides, it's just one industry. And nothing the US could ever do was going to stop a large, poor country like China from growing (and China is still nowhere near as rich as the West). And "self sufficiency" is not some smart strategic choice, it's what you're stuck with when no one will play ball with you anymore due partially to your own paranoid decisions. And it's "themselves".
  • Impressive sounding numbers don't tell the story. TWO HUNDRED BILLION CHIPS but zero comparison with the rest of the industry.
  • China is already the new superpower of sorts. Imagine if they cut off chip exports to the USA and Canada. That would be devastating.