Overview

Semiconductor Manufacturing International Corporation, commonly known as SMIC, is a Chinese pure-play semiconductor foundry headquartered in Shanghai. The company manufactures integrated circuits for customers that design chips but generally do not operate their own fabrication plants. Its business spans wafer fabrication, process development, technology research, and supporting foundry services for applications including mobile communications, consumer electronics, industrial systems, automotive electronics, power management, radio-frequency devices, and other specialized markets. SMIC was established on April 3, 2000, and incorporated in the Cayman Islands. It expanded rapidly by building and acquiring fabrication capacity in mainland China, including facilities in Shanghai, Beijing, Tianjin, Chengdu, Wuhan, and other locations. This expansion was supported by municipal governments, state-linked investment institutions, and private and international capital. The company's geographic footprint also includes offices and representative operations outside mainland China, including the United States, Italy, Japan, Taiwan, and Hong Kong. The company is historically associated with mature and specialty process technologies, but it has also invested heavily in advanced logic manufacturing. Its publicly described manufacturing range extends from older 350-nanometer processes to 7-nanometer-class technologies. SMIC announced volume production of 14-nanometer FinFET technology in 2019. Later reporting and technical analysis linked the company to 7-nanometer production, including the Kirin 9000s processor used in Huawei's Mate 60 series. These developments attracted international attention because SMIC has operated under extensive United States export controls that restrict access to certain semiconductor manufacturing equipment, software, and components. SMIC's ownership structure is partly state-linked. Major shareholders and financing participants have included Datang Telecom Group, the China Integrated Circuit Industry Investment Fund, and the Shanghai Integrated Circuit Industry Investment Fund. The company has also worked with international and domestic partners on research, process development, and specialty manufacturing. Its customers and business relationships have included major chip designers and technology companies such as Huawei, Qualcomm, Broadcom, and Texas Instruments, although customer relationships and production allocations can change over time. SMIC was listed in Hong Kong and later on the Shanghai Stock Exchange's STAR Market. It voluntarily delisted from the New York Stock Exchange in 2019, citing limited trading volume and the administrative expense of maintaining the listing. In 2020, its Shanghai listing raised approximately RMB46.28 billion, according to the cited reference material. The company has since remained a central participant in China's effort to expand domestic semiconductor manufacturing capacity. SMIC's strategic importance increased after United States restrictions were imposed on its access to American-origin technology and after the company was placed on the United States Entity List. The restrictions complicated equipment procurement and international supply-chain relationships, while also encouraging further investment in domestic equipment, process engineering, and fabrication capacity. SMIC subsequently announced or participated in multiple expansion projects and joint ventures backed by Chinese state-linked funds. Its position combines the commercial role of a global contract manufacturer with the strategic role of a leading semiconductor producer within China's industrial policy framework.

History

SMIC was founded in Shanghai on April 3, 2000, as a Cayman Islands-incorporated company intended to build an internationally competitive semiconductor foundry business in mainland China. During its first expansion phase, it established a wholly owned fabrication plant in Shanghai, acquired a Motorola manufacturing facility in Tianjin, and began developing a wholly owned facility in Beijing. It also participated in projects in Chengdu and Wuhan. These projects reflected a hybrid financing model in which local governments helped bear the capital cost of fabrication infrastructure while SMIC operated the manufacturing businesses. In September 2003, the company raised approximately US$630 million from investors including Walden International, Oak Investment Partners, Temasek, and Vertex Israel. The financing supported the rapid construction and development of wafer-fabrication capacity. SMIC subsequently expanded its process portfolio and customer base while building relationships with both domestic institutions and international semiconductor companies. The company entered several technology and investment partnerships. In 2015, Huawei, Qualcomm Global Trading, IMEC International, and SMIC announced the creation of an advanced technology research and development joint venture in Shanghai. In 2016, SMIC's wholly owned investment arm, China IC Capital, joined Ningbo Senson Electronics Technology and the Beijing Integrated Circuit Design and Testing Fund to establish Ningbo Semiconductor International Corporation. SMIC held 66.76 percent of that venture, which was intended to develop analog, high-voltage, radio-frequency, and optoelectronic process platforms for applications including smart-home products, industrial equipment, vehicles, communications, and immersive-reality systems. SMIC continued to develop domestic manufacturing projects during the late 2010s. In 2018, it and the government of Shaoxing established United Nova Technology, and construction began on a Shaoxing manufacturing base. The project was associated with the company's effort to introduce 14-nanometer production in China. The company also reported plans to increase its investment capacity in 2019. During this period, SMIC's leadership included co-chief executives Haijun Zhao and Mong-song Liang, while Zixue Zhou served as chairman. Reports in 2019 described differences between the co-chief executives concerning the company's strategic focus. In May 2019, SMIC announced the voluntary delisting of its American depositary shares from the New York Stock Exchange. The company attributed the decision primarily to low trading volume and the cost of maintaining the listing. The withdrawal occurred amid increasing United States-China technology tensions and shortly after the United States placed Huawei under significant restrictions. In 2020, the China Integrated Circuit Industry Investment Fund and the Shanghai Integrated Circuit Industry Investment Fund invested a combined approximately US$2 billion in SMIC, obtaining substantial equity positions. In July of the same year, SMIC listed shares on the Shanghai Stock Exchange's STAR Market and raised approximately RMB46.28 billion. These transactions strengthened the company's access to domestic capital and aligned it with China's industrial effort to develop semiconductor self-sufficiency. SMIC's relationship with Taiwan Semiconductor Manufacturing Company also produced important legal consequences. TSMC accused SMIC of misappropriating intellectual property. An initial proceeding ended in 2005 with a reported US$175 million settlement. Further litigation followed, and in 2009 a California jury found SMIC liable on 61 of 65 claims in the liability phase. The parties ultimately entered a settlement resolving the pending disputes. The most consequential later development was the tightening of export controls. In 2020, United States authorities designated SMIC as a military end user, required licenses for certain technology transfers, and later added the company to the Entity List. The United States Department of Defense also identified SMIC as a company it regarded as owned or controlled by the People's Liberation Army, restricting certain American investment. These measures limited SMIC's access to advanced equipment and components, including equipment associated with extreme ultraviolet lithography. Despite these constraints, SMIC announced volume production of 14-nanometer FinFET technology in 2019 and later developed 7-nanometer-class technology. Technical analysis connected SMIC-manufactured chips with Huawei's Kirin 9000s processor, publicized in 2023. The achievement became a symbol of China's effort to advance domestic semiconductor manufacturing despite sanctions. SMIC subsequently pursued further capacity expansion through partnerships and state-supported projects while continuing to serve mature-node and specialty-process customers.

2023
SMIC-linked 7-nanometer chip appears in Huawei Mate 60 series
[1]Semiconductor Manufacturing International Corporationen.wikipedia.org
Technical analysis links Huawei's Kirin 9000s processor to SMIC's 7-nanometer-class process.
2022
7-nanometer-class technology reported
[1]Semiconductor Manufacturing International Corporationen.wikipedia.org
Reference material reports that SMIC established 7-nanometer technology after approximately two years of development.
2020
Domestic capital-market expansion
[1]Semiconductor Manufacturing International Corporationen.wikipedia.org
State-linked Chinese funds invest in SMIC, and the company raises approximately RMB46.28 billion through a Shanghai STAR Market offering.
2020
United States export controls intensify
[1]Semiconductor Manufacturing International Corporationen.wikipedia.org
SMIC is designated as a military end user and later added to the United States Entity List.
2019
14-nanometer FinFET enters volume production
[1]Semiconductor Manufacturing International Corporationen.wikipedia.org
SMIC announces volume production of its 14-nanometer FinFET process.
2019
NYSE delisting
[1]Semiconductor Manufacturing International Corporationen.wikipedia.org
SMIC announces that it will voluntarily delist from the New York Stock Exchange because of limited trading volume and listing-related costs.
2016
Ningbo Semiconductor International is established
[1]Semiconductor Manufacturing International Corporationen.wikipedia.org
SMIC's investment arm joins partners to create a specialty-process company focused on analog, RF, high-voltage, and optoelectronic technologies.
2015
Advanced technology research joint venture
[1]Semiconductor Manufacturing International Corporationen.wikipedia.org
SMIC, Huawei, Qualcomm Global Trading, and IMEC announce a Shanghai-based advanced technology research and development venture.
2005
Initial TSMC litigation settlement
[1]Semiconductor Manufacturing International Corporationen.wikipedia.org
An initial intellectual-property dispute with TSMC ends in a reported settlement of approximately US$175 million.
2003
Early international financing
[1]Semiconductor Manufacturing International Corporationen.wikipedia.org
SMIC raises approximately US$630 million from a group of international and institutional investors.
2000
SMIC is founded
[1]Semiconductor Manufacturing International Corporationen.wikipedia.org
Semiconductor Manufacturing International Corporation is established on April 3 and headquartered in Shanghai.

Products and positioning

A China-based, state-linked pure-play foundry combining broad mature-node capacity with selective advancement into leading-edge logic manufacturing.

Foundry manufacturing
Mature-node wafer foundry services
SMIC manufactures integrated circuits across established process nodes, including technologies described in reference material as ranging from 350 nanometers upward. These services support high-volume applications where cost, reliability, analog performance, power management, or long product lifecycles are more important than the smallest possible transistor dimensions.
Advanced logic process · 2019
14-nanometer FinFET
SMIC's 14-nanometer FinFET platform marked a major step in the company's advanced logic development. The company announced volume production in November 2019. FinFET structures improve control of transistor channels compared with older planar designs and can support more capable mobile, communications, and computing products.
Advanced logic process · 2022
7-nanometer-class process
The 7-nanometer-class process is associated with SMIC's move toward more advanced logic manufacturing under severe equipment restrictions. Technical analysis connected the process with the Kirin 9000s processor used in Huawei's Mate 60 series. The technology has strategic significance because it demonstrates progress using constrained access to advanced lithography tools.
Specialty semiconductor processes · 2016
Analog, RF, high-voltage, and optoelectronic platforms
Through specialty-process activities including the Ningbo Semiconductor International venture, SMIC supports analog, high-voltage, radio-frequency, and optoelectronic semiconductor development. These platforms address smart-home products, industrial electronics, automotive systems, communications equipment, and other applications that require specialized electrical or optical characteristics.

Controversies

2020
IFT files patent infringement lawsuit against SMIC, Broadcom, Cypress Semiconductor, and DISH Network
Innovative Foundry Technologies (IFT) announced that it filed a patent infringement lawsuit against SMIC, Broadcom, Cypress Semiconductor, and DISH Network in the U.S. District Court for the Western District of Texas. IFT accused the defendants of infringing four of its patents. The filing is an allegation by the plaintiff and is not presented as a court determination.
Source
2009
TSMC intellectual-property litigation
TSMC accused SMIC of misappropriating intellectual property. A California jury found SMIC liable on 61 of 65 claims in the liability phase of later litigation. The parties subsequently settled the pending disputes.
Source

Marketing campaigns

2020Domestic semiconductor capacity expansion
China
SMIC participated in a state-supported expansion effort aligned with China's semiconductor-development and Made in China 2025 objectives. Investments from national and Shanghai integrated-circuit funds supported additional manufacturing capacity and technology development.
Outcome. Expanded domestic financing and strengthened SMIC's role in China's semiconductor industrial policy.
Source

Brand decisions

2020
Domestic capital raising and capacity expansionStrategy
Background
China's semiconductor industry faced heightened supply-chain pressure and increasing restrictions on access to foreign technology.
Action taken
SMIC accepted investment from Chinese integrated-circuit funds and completed a large STAR Market share offering to support manufacturing and technology development.
Aftermath
The transactions increased SMIC's domestic funding base and supported its strategic role in China's semiconductor self-reliance program.
STAR Market offering proceeds. Approximately RMB46.28 billion raised (July 2020)
Source
2019
Voluntary withdrawal from the NYSEOther
Background
SMIC reported that trading volume in the United States was limited and that maintaining the NYSE listing created administrative costs.
Action taken
The company announced and completed a voluntary delisting from the New York Stock Exchange while retaining its other public-market listings.
Aftermath
SMIC continued as a listed company in Hong Kong and later expanded its mainland China capital-market presence through the STAR Market.
Source
2019
14-nanometer FinFET volume productionProduct launch
Background
SMIC sought to extend its capabilities beyond mature process technologies and establish a domestic advanced-logic manufacturing base.
Action taken
The company announced the start of volume production using its 14-nanometer FinFET process.
Aftermath
The process became a foundation for subsequent development of smaller logic nodes, including the company's reported 7-nanometer-class technology.
Source

Recent events

2025
Taiwan adds SMIC to its export-control list[1]Semiconductor Manufacturing International Corporationen.wikipedia.org
Regulation
Reference material reports that Taiwan added SMIC to its export-control list.
2023
Huawei Mate 60 series highlights SMIC 7-nanometer-class production[1]Semiconductor Manufacturing International Corporationen.wikipedia.org
Product launch · Product generation · Regulation
Technical analysis linked the Kirin 9000s processor in Huawei's Mate 60 series to SMIC's 7-nanometer-class process, prompting renewed debate over export controls and China's semiconductor capabilities.
2020
United States identifies SMIC as a military end user[1]Semiconductor Manufacturing International Corporationen.wikipedia.org
Regulation
The United States Department of Commerce required companies supplying certain American-origin technology to obtain licenses before dealing with SMIC.
2020
SMIC is added to the United States Entity List[1]Semiconductor Manufacturing International Corporationen.wikipedia.org
Regulation
The United States Department of Commerce placed SMIC on the Bureau of Industry and Security Entity List, further restricting access to specified goods and technology.
2020
SMIC raises capital through the Shanghai STAR Market[1]Semiconductor Manufacturing International Corporationen.wikipedia.org
Other
SMIC issued shares on the Shanghai Stock Exchange's STAR Market and raised approximately RMB46.28 billion, according to the cited reference material.
2019
SMIC voluntarily delists from the New York Stock Exchange[1]Semiconductor Manufacturing International Corporationen.wikipedia.org
Other
SMIC announced that it would withdraw its NYSE listing, citing low trading volume and the cost and administrative burden of maintaining the listing.
2019
SMIC announces volume production of 14-nanometer FinFET[1]Semiconductor Manufacturing International Corporationen.wikipedia.org
Product generation · Product launch
The company announced that volume production had begun for its 14-nanometer FinFET process.