China starts production of home-grown immersion DUV chipmaking tools - source

China has commenced mass production of its own immersion deep-ultraviolet (DUV) lithography machines, a pivotal technology for manufacturing advanced semiconductors. This development marks a crucial stride in Beijing's ambition to achieve greater self-sufficiency in the semiconductor industry and lessen its dependence on foreign technology. Shanghai Aishengna Electronic Technology Group, a state-owned entity, is spearheading this effort, integrating teams from prominent Chinese lithography startups.

The production of these DUV machines is a significant win for President Xi Jinping's national semiconductor self-sufficiency initiative. However, the domestically produced tools are still in the early stages of development and testing. They are not expected to pose an immediate commercial challenge to ASML, the Dutch company that has long dominated the DUV lithography market. Aishengna's machines are anticipated to require further refinement before they can match the capabilities of ASML's competing models.

Despite these limitations, the successful deployment of Chinese-made DUV machines could provide Chinese chipmakers with a vital alternative source of equipment. This is particularly relevant if Western governments continue to impose restrictions on the export or servicing of foreign lithography tools. Leading Chinese chip manufacturers, including Semiconductor Manufacturing International Corp (SMIC), Hua Hong Semiconductor, and ChangXin Memory Technologies (CXMT), are expected to receive these machines later this year.

Immersion DUV machines employ a layer of water between the projection lens and the silicon wafer, enabling the printing of smaller circuit patterns compared to conventional dry systems. These machines are versatile and can be utilized for producing a wide range of chips. Furthermore, they can be adapted for manufacturing more advanced semiconductors through multi-patterning techniques, which involve repeatedly exposing the same layer. Aishengna, established in August 2023, is backed by state-owned shareholders Shanghai Electric Holding and a subsidiary of Shanghai International Trust.