China has quietly introduced a rule under which chipmakers must use at least 50% domestically produced equipment when adding new semiconductor manufacturing capacity, reports data-analytics-id=”inline-link” href=”https://www.reuters.com/world/china/china-mandates-50-domestic-equipment-rule-chipmakers-sources-say-2025-12-30/” data-url=”https://www.reuters.com/world/china/china-mandates-50-domestic-equipment-rule-chipmakers-sources-say-2025-12-30/” target=”_blank” referrerpolicy=”no-referrer-when-downgrade” data-hl-processed=”none” data-mrf-recirculation=”inline-link”>Reuters. The move could potentially reshape procurement decisions, accelerate local tool adoption, and squeeze foreign suppliers out of the Chinese market.
However, there are a number of catches with this requirement: firstly, authorities grant waivers for advanced fabs; secondly, Chinese industry cannot produce enough litho…
