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Chips have been placed in an unprecedentedly important position. The European Union and the United States passed their respective "chip bills" this year, and China, Japan and South Korea have also continued to increase their support for the chip field. According to statistics from some institutions, the scale of chip subsidies announced by many countries around the world will reach 500 billion US dollars.

China's overall goal in chip subsidies is to achieve 70% chip self-sufficiency by 2025. According to industry body SIA, China's total investment in the chip sector from 2014 to 2030 exceeds $150 billion.

-In 2014, China established the National Integrated Circuit Industry Investment Fund (hereinafter referred to as the Big Fund).

-In the first phase of the large fund, 67% of the funds will flow to integrated circuit manufacturing, 17% to design, 10% to packaging and testing, and 6% to equipment materials. The funds of the second phase of the large fund will mainly flow to semiconductor materials and equipment companies.

-As of the end of last year, the cumulative investment amount of the Chip Fund (Phase I and Phase II) exceeded RMB 170 billion.

In recent years, the global chip market share of the United States is only 12%. In order to improve the status of the United States in the chip industry, the "Chip Act" passed by the Senate last month plans to provide about 77 billion US dollars in subsidies for the chip industry. In our report, we have sorted out the whereabouts of the funds currently disclosed by this bill.

South Korea’s share of global chip manufacturing capacity is about one-fifth. The South Korean government’s investment goal in the chip field focuses on improving the industry. In 2021, it proposed the “K-Semiconductor Strategy” and plans to invest 408 billion US dollars in 10 years, it revealed. The funds went to include:

- The scope involves 12 cities in South Korea, building it into the world's largest semiconductor production base;

-Increasing subsidies for infrastructure construction, reducing or exempting at least 40% of R&D investment tax and at least 10% of facility investment tax for semiconductor companies;

-By 2031, cultivate 36,000 semiconductor talents and establish new related disciplines.

In 2021, Japan proposed the "Semiconductor Digital Industry Strategy", with the goal of maintaining a 10% global chip market share by 2030. Its budget amendment proposed a budget of $5.9 billion, covering semiconductor production, semiconductor equipment, 5G communications, etc.

-About US$4.7 billion is planned to be allocated to strengthen the semiconductor production system.

-$350 million invested in semiconductor production equipment with the goal of preparing for the coming era of autonomous driving and the Internet of Things.

- Japanese Prime Minister Fumio Kishida previously said that by 2030, the Japanese government and private sector will invest more than $10.6 billion in semiconductor production.

The EU wants to ensure the security of its own chip supply, and its goal is to increase the EU's share of global chip production capacity from the current 10% to 20% by 2030.

-Passed the "Chip Act" in February this year, and plans to invest $44 billion in the semiconductor field, of which $11.2 billion will be used for chip research, development and innovation.

According to SIA, about three-quarters of the world's chip manufacturing capacity is located in mainland China, Taiwan, South Korea and Japan, and the United States accounts for 13%. No country or region has yet achieved complete autonomy in the chip value chain.