Chinese Chipmaker Accelerates Tool Replacement Amidst Sanctions

To counter U.S. sanctions that have slowed sales of semiconductors in China, a top executive at Huawei said Friday that the country’s semiconductor industry will be “reborn” following U.S. sanctions. In reaction to Washington’s tech export restrictions on China, Huawei’s rotating chairman, Eric Xu, issued some tough words.

Based on the views of the founder of Advanced Micro-Fabrication Equipment (AMEC), one of China’s leading manufacturers of etching equipment, the restrictions placed by the US on the import of those products will only have a negligible impact on the ability of his company to operate.

In a more specific sense, Gerald Yin stated that by the end of the year, domestic alternatives will be capable of replacing approximately 80% of imported (and now restricted) equipment. A lot of analysts estimate that AMEC could resume full operational capacity by 2024 – a result of China’s billion-yuan drive to attain semiconductor self-sufficiency by the second half of that year. 

AMC is expecting to achieve a 60% market share in the capacitively coupled plasma (CCP) electrode etching equipment market within a few quarters, an increase of a significant proportion compared with its 25% market share as of the end of October 2022. Aside from this market, the company is looking to encroach on the segment for induc

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