By Greg Gao

(JW Insights) Apr 4 -- China’s total investment in semiconductor projects reached RMB1.5 trillion($218 billion) in 2022, with a strong momentum, according to a report released by research and consulting company CINNO Research on April 4. 

The capital mainly flowed to the chip design sector, with an amount exceeding RMB560 billion($81.4 billion), accounting for about 37.3% of the total.

China's wafer fabrication sector attracted RMB380 billion($55 billion), accounting for about 25.3%.

The investment in materials hits RMB300 billion($43.6 billion), accounting for about 20.1%;

The packaging and testing field received an investment of RMB130 billion($19 billion), accounting for about 8.9%;

The investment in equipment reached RMB36 billion($5.2 billion), accounting for about 2.4%.

As for the geographical distribution of semiconductor industry investment, Taiwan region, Jiangsu, and Guangdong account for more than 10% of investment funds, respectively. The top five regions that received the most investment funds accounted for about 65.8% of the total.

The capital from China’s mainland accounted for 75.8%, the Taiwan region’s funds accounted for 23.8%, and Japanese and South Korean funds accounted for 0.38%, according to statistics from CINNO Research.

In 2022, the silicon wafer field in China received the highest proportion of investment, accounting for about 34.7%, exceeding RMB100 billion($14.5 billion). Projects with an investment of more than RMB20 billion($2.9 billion) included SiC/GaN, IC substrates, electronic chemicals, and electronic specialty gases, said the report.