11/03 2025
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In recent times, China's chip sector has witnessed remarkable growth, marked by steady advancements in both overall production capacity and technological innovation.
Figures indicate that in 2024, China's chip production soared to a staggering 451.4 billion units, reflecting a 22.2% year-on-year surge and setting a new benchmark with an average daily output of 1.24 billion units.
The momentum continued into 2025, with China's chip industry experiencing another surge. From January to September, cumulative chip production reached 381.9 billion units, up 8.6% year-on-year, averaging approximately 1.41 billion units per day, indicating a further rise from the previous year.

Which cities have been the driving forces behind China's chip industry boom? Which cities serve as the nation's chip production powerhouses?
Leveraging data from the Statistics Bureau, we've curated a list of chip production volumes across major domestic cities for 2024, offering a clear perspective on the landscape.
The following chart illustrates the city-wise distribution of total chip production based on 2024 data.

It's evident that Jiangsu Province stands as the national chip production hub, churning out over 140 billion chips last year. This figure represents 31% of the national total of 451.4 billion chips, implying that at least three out of every 10 chips produced nationwide originate from Jiangsu.
Trailing Jiangsu are Guangdong, Gansu, Shanghai, and Zhejiang. The top five regions collectively produce around 80% of the chips, indicating a fairly concentrated market share.

Let's also delve into the specific growth trajectories of cities with relatively high chip production volumes over the years. It's apparent that Jiangsu has consistently led the nation for the past decade, maintaining a trajectory of rapid expansion.
Moreover, Guangdong and Gansu have also exhibited swift growth trends, outpacing other cities in terms of growth rates.
What makes Jiangsu the domestic chip production epicenter? The answer lies in the presence of numerous chip manufacturing enterprises and chip packaging and testing firms in the province.

Jiangsu currently boasts a comprehensive industrial chain for chip production, spanning from materials and equipment to chip manufacturing, packaging, and testing. A single wafer might not even need to leave Jiangsu to undergo all stages, including design, photolithography, etching, testing, and packaging.
For instance, Changjiang Electronics Technology, the nation's premier packaging and testing enterprise, is based in Jiangsu. Tongfu Microelectronics, a packaging and testing behemoth, is also headquartered in the province. TSMC operates a manufacturing plant in Nanjing, Jiangsu...
Hence, Jiangsu's chip production volume has unfailingly topped the national charts. Presently, Jiangsu ranks among the forefront in the nation concerning industrial development level in the chip sector, with several representative enterprises leading the pack nationwide. Looking ahead, Jiangsu's performance in the chip industry is poised to become even more stellar.