China’s Efforts to Consolidate Chip Industry Reportedly Falter as Eight Deals Fall Through in 2025

Posted in

August 8, 2025

China’s Efforts to Consolidate Chip Industry Reportedly Falter as Eight Deals Fall Through in 2025

China is facing challenges in consolidating its semiconductor sector, which aims to create dominant state-backed firms to compete globally. Efforts to merge chip manufacturing equipment companies have stalled due to disagreements over ownership and valuations, despite a push from the National Development and Reform Commission. While the consolidation has been uneven, with several high-profile deals failing, the country has announced 26 acquisitions in 2025, potentially matching last year’s post-pandemic highs. Notable transactions include a merger between Hygon and Sugon, while increased pressure for consolidation is highlighted in China’s foundry sector to address issues of oversupply and competition.

Original source:

https://www.trendforce.com/news/2025/08/08/news-chinas-chip-merger-push-reportedly-stalls-as-8-deals-collapse-in-2025/

China’s Efforts to Consolidate Chip Industry Reportedly Falter as Eight Deals Fall Through in 2025

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