China spends $150B over decade to build domestic chip industry, but still produces fewer, slower semiconductors than foreign rivals due to U.S. export controls blocking key equipment; Huawei needs two more years to match Nvidia performance despite Beijing's self-sufficiency push fueling AI investment boom.

How China Built a Chip Industry, and Why It’s Still Not Enough

AdvertisementSKIP ADVERTISEMENTYou have been granted access, use your keyboard to continue reading.More than a decade into Beijing’s push for self sufficiency, Chinese firms are producing fewer, lower-performing chips than their foreign competitors.The Semiconductor Manufacturing International Corporation complex in Shanghai. The Chinese government has spent more than $150 billion on its push to make cutting-edge chips at home.Credit...Qilai Shen for The New York TimesFeb. 14, 2026, 12:00 a.m. E...