From the second half of last year to the present, the global semiconductor industry’s production capacity has been tight for almost a year. Some chips have increased in price by three to five times, and the delivery period has been tens of weeks or even more than one year, which has seriously affected the development of many industries.

In the process of the current capacity shortage and price increase, the domestic semiconductor industry was more severely affected by the lack of capacity, especially high-end chip capacity. The profits brought by the chip price increase have flowed to TSMC, Samsung, Qualcomm, NVIDIA,  Intel, AMD and other companies are in the hands.

To solve the semiconductor supply problem, the domestic semiconductor production capacity is still seriously insufficient, and it is necessary to continue to expand the construction of fabs.

At the “2021 World Semiconductor Conference”, Wu Hanming, academician of the Chinese Academy of Engineering and dean of the School of Micro-nanoelectronics, Zhejiang University, also discussed the issue of domestic chip production capacity. He believes that there is still a need to build 8 more SMIC chip production capacities in China.

SMIC is currently the largest foundry in China and the fifth largest in the world. According to the company’s Q1 quarterly financial report, the equivalent wafer production capacity from January to March is 540,000 wafers/month. Its production capacity is 4.32 million wafers/month, and its annual chip production capacity is more than 50 million wafers.

Monthly production capacity of more than 4 million wafers sounds like a lot, but it is not an exaggeration among global semiconductor giants. According to the statistics of ICinsights, as of the end of 2020, Samsung’s monthly production capacity was 3.06 million wafers/month, and TSMC also had 2.72 million wafers. Month, Micron, SK Hynix, and Toshiba are respectively 1.93 million wafers/month, 1.79 million wafers/month, and 1.6 million wafers/month, which add up to more than 10 million wafers/month. Five of them account for the global semiconductor production capacity.

From this point of view, even if the domestic production capacity increases by 8 SMIC’s volume, accounting for about 20% of the world’s total production capacity, considering that other manufacturers will greatly increase their production capacity in the next few years, this proportion will actually increase.

In the global semiconductor market, China’s market consumes about one-third of the market, and the current production and sales ratio is unbalanced.

For China, the chip industry has a low starting point, slow start, and slow development, but opportunities are left to those who are prepared. If we seize the global epidemic crisis and gain a foothold in the chip industry, we are bound to be in the global high-tech field. Fight for a certain right to speak.