China’s 3rd Fund Earmarks $47.5B for Semiconductor Sector

China created its third state-backed investment fund to boost its semiconductor industry. With a registered capital of 344 billion yuan ($47.5 billion), the fund aims for self-sufficiency in semiconductors.

Established on May 24, the third fund will be the largest of the three funds they launched. Investors include China’s finance ministry, China Development Bank Capital, Industrial and Commercial Bank of China, China Construction Bank, Agricultural Bank of China, Bank of China, and Bank of Communications.

The third phase of the fund will focus primarily on equipment for chip manufacturing. The Big Fund is considering hiring at least two institutions to invest the capital from this phase.