MNI POLICY: China To Be Driver Of Global Semiconductor Market

Increasing Chinese demand is becoming a driving force behind the growth of the global semiconductor market, Ministry of Commerce spokesman Gao Feng said Thursday, with the country now leading the way in imports.

Demand has risen steadily as the Covid-19 outbreak has changed people's lifestyles, boosting the need for integrated circuits to make servers, personal computers, tablets, and electronic medical devices, Gao said when asked if increasing semiconductor imports was related to the U.S. tightening export restrictions on telecoms firm Huawei.

China's 5G network construction, along with tech manufacturing companies' stockpiling semiconductors also boosted demand, Gao added.

China's imports of semiconductors totaled CNY1.5 trillion, an increase of 15.3% y/y, 17.6 percentage points higher than the overall import growth.

Gao also said that China will give full support to help exporters obtain orders, encourage them to develop new business models and actively expand exports of daily necessities as well as imports. China's foreign trade this year still face increased uncertainties amid the rising unilateralism and protectionism, despite international market demand is picking up partially, he noted.