On August 22, SEMI held a seminar in Tokyo titled “Market Updates-Chinese Semiconductor & Explanation of US-China Trade Friction” in which about 150 persons including the SEMI members attended.

The program on the day consisted of four themes as follows:-
1) The Outlook of “MADE IN CHINA 2025” and Chinese High-tech industries – Professor Tomoh Maruyama of Tokyo University specialized on the regional society field in the comparison modern society
2) “What should we do to prevent the slowing technical innovation of semiconductor? – US-China trade friction is entering a long battle.” – Director Akira Minamikawa of IHS Markit Technology in charge of research
3) “Global Semiconductor Industry Updates” – President Lung Chu of SEMI China
4) “China Semiconductor Supply Chain Development – Lily Feng BRICS Group Director

Professor Maruyama explained the “MADE IN CHINA 2025” which was unveiled as an important policy by the China State Council in 2015 followed by a technical road map issued in the same year, about which the United States of America is said to be cautious. (A new edition was published in 2018.) The contents of “MADE IN CHINA 2025” is aimed to enhance the national power embracing internationally competitive manufacturers, while the “Technical Road Map” is aimed at a market share of 49% of the home-made IC in 2020 and 75% in 2025.

Professor Maruyama said, “Such a nationalization-oriented target as shown on the TECHNICAL ROAD MAP would narrow the market of foreign-made products and go against the grand principle of openness to the international community, about which we should ask for withdrawal. As means for their withdrawal, we think of some way like raising import duty on China-made products, elimination of China-made products or prohibition of importing IC. All of the means, however, will result in reinforce China’s policy to nationalize and home-market orientation.”

Explaining the “MADE IN CHINA 2025” policy, Mr. Minamikawa of IHS Markit said that the US government showed its cautiousness that the Chinese enhanced technology will empower its military capability centered by the navy leading to a great military power. He expressed his foresight that the keynote of China’s technical development must be based upon the “MADE IN CHINA 2025”, and the USA has an eye to slow down China’s “2025” and pulling down the targeted value and stop spying. However, unless China concedes, the trade battle will be extended for a longer period, which will exert influences upon the semiconductor industry.

He also referred to the reinforcement of semiconductor power device development included in the “2025” policy, and pointed out that several power device companies are tackling the development.