December 18, 2024 /SemiMedia/ — China's integrated circuit (IC) production rose 8.7% year-on-year in November to 37.6 billion units, with the slower growth reflecting intensifying U.S.-China tech competition and tighter chip export restrictions.

According to data from China's National Bureau of Statistics, this marked the first time in 2023 that IC production growth fell to single digits. Total IC output in the first 11 months of the year reached 395.3 billion units, up 23.1% year-on-year. During the same period, China's overall industrial output increased by 5.4%.

The semiconductor sector remains a central battleground in U.S.-China technological rivalry. In December, the United States imposed stricter export controls on China, adding 24 types of chip-making equipment and three categories of key software to its restrictions. It also blacklisted 140 Chinese entities linked to the chip industry.

Despite these restrictions, China's IC production has been buoyed by robust demand in high-growth sectors such as industrial robotics and electric vehicles (EVs). Data showed that in November, China's industrial robot output surged 29.3% year-on-year, while EV production jumped 51.1%.

Customs data from China showed that in the first 11 months of 2023, the country exported 271.6 billion IC units, an 11.4% increase year-on-year, with export value nearing $145 billion, up 20.3%. Imports of ICs totaled 501.47 billion units during the same period, a 14.8% rise from a year earlier.