"Chip" Voice of China's Two Sessions in 2023
The First Session of the 14th National People's Congress and the First Session of the 14th National Committee of the Chinese People's Political Consultative Conference (hereinafter referred to as the "2023 Two Sessions") were held in Beijing from March 5th to 13th and March 4th to 11th, respectively.
In recent years, the talent cultivation and construction of integrated circuit colleges in China have become the focus of attention from all sectors of society. As of May 2022, China has built 29 national integrated circuit talent cultivation bases, national demonstration microelectronics colleges, and integrated circuit industry-education integration innovation platform universities, including 23 985 universities. At the same time, relevant disciplines have been continuously strengthened. In 2020, the category of "cross-discipline" was established, and the first-level discipline of "integrated circuit science and engineering" was established. In 2021, the first batch of 18 doctoral degree authorization points in the first-level discipline of "integrated circuit science and engineering" was announced, and six additional points were added in 2022.
The Central Committee of the Chinese Democratic National Construction Association (CDNCA) has proposed increasing investment and accelerating the development of high-end chip manufacturing in order to balance the distribution of the chip industry and lay a foundation for China's artificial intelligence industry. They also suggest innovating talent development models, creating interdisciplinary programs, and cultivating versatile talent. They propose actively exploring effective commercial systems, leveraging the benefits of a unified large market, and achieving more efficient internal circulation. Additionally, they propose enhancing the security and stability of the industrial and supply chains, achieving autonomy and control, and focusing on strengthening enterprises, making up for shortcomings, and filling gaps in the chip industry.
Guo Yufeng, Deputy General Manager of Feiteng, a subsidiary of China Electronics, stated that domestically produced hardware and software products have rapidly progressed from being "unavailable" to "usable" to "basically functional," and that the domestic ecology has evolved from being weak and closed to thriving and open. The country has also transitioned from pilot projects to small-scale implementation and to large-scale application. However, domestically produced servers and desktop terminals only account for about 5% of the market share, and domestic CPU development still faces severe challenges. First, global development is hindered by external pressures and blockades. Second, there are numerous technological systems, making it difficult to gather ecological strength internally. Third, market cultivation is inadequate, and research and development have not formed a positive cycle with the market.
Zhu Huarong, Chairman of Changan Automobile, believes that with the gradual increase in the level of electrification and intelligence in automobiles, the demand for single-chip solutions has exploded. It is predicted that by 2030, the demand for automobile chips in China's automotive industry will exceed 100 billion annually, but the current domestic production rate of car-level chips has not yet exceeded 10%, despite a rapid increase. Standardizing power batteries and strengthening technological development in next-generation power batteries and chips is imperative.
He suggests that for core technologies, a market-based mechanism should be established to improve the entire process of supporting policies from research to commercialization, stimulate innovation, accelerate the development of difficult-to-conquer technologies such as next-generation batteries and car-level chips, and ensure the healthy and stable development of the new automobile industry.
Prior to the convening of the two sessions, positive news frequently emerged in the integrated circuit sector, with keywords such as "integrated circuits" and "chips" being mentioned by Vice Minister of Industry and Information Technology Xin Guobin and Director of the State-owned Assets Supervision and Administration Commission Zhang Yuzhuo, among others. At the same time, the "Digital China Construction Overall Layout Plan" was released, and a chip industry patent database was launched for trial operation, further driving the semiconductor industry into a development climax.
In the past two years, China has also increased its investment in scientific and technological innovation. By 2023, special funds supporting chip development and other key industrial sectors will increase by nearly 50% compared to 2022, reaching 13.3 billion yuan.