With the advent of the information age, electronic information technology, as a modern technology for acquiring, transmitting, processing and using information, plays a very important role in modern society. The electronic information industry is the fastest growing industry in human history, as a high-tech industry, in a sense, electronic information technology has developed into an important indicator to measure the level of scientific and technological development of a country. Speeding up research on electronic information science and technology and adjusting the development strategy can lay the foundation for the technological upgrading of various industries on the mainland. In the environment of fierce market competition, all countries in the world are striving to increase all kinds of investment in the development of electronic information technology, hoping to achieve a leading position in the field of electronic information technology, and through the development of electronic information technology to promote the development of related industries, to achieve economic recovery and development.
This article focuses on the analysis of IT, electronic appliances, semiconductors & chips, etc.
- IT
The IT industry is the information technology industry, also known as the information industry, which is the use of information means and technology to collect, sort, store, transmit information, provide information services, and provide corresponding information means, information technology and other services.
IT is divided into three main parts: software, hardware, and applications. Hardware mainly refers to the host and network communication equipment for data storage, processing and transmission; Software includes all kinds of software used to collect, store, retrieve, analyze, apply, and evaluate information; Application mainly refers to the collection, storage, retrieval, analysis, application, evaluation and use of various information.
- Summary of IT industry policies
As a strategic emerging industry, the state has continuously introduced relevant policies to support the development of the industry. Policy support is of great significance to the development of the information and innovation industry, and the competitiveness of the mainland's information and innovation industry has continued to break through, and the localization process has been steadily promoted. In 2019, the mainland proposed the development of the information and innovation industry, and then introduced a series of supporting policies, and in 2020, as the first year of information and innovation development, the state issued five policies in a row to put forward relevant provisions on the development plan of the information and innovation industry. In 2022, the policy will focus on "digital economy", "digital government" and national informatization.
| Time | Issued by | The name of the policy | Highlights: |
| 2022-6 | State council | "Guiding Opinions on Strengthening the Construction of Digital Government" | Improve the level of autonomy and controllability. Strengthen independent innovation, accelerate the research of key core technologies in the field of digital government construction, strengthen the application of safe and reliable technologies and products, and effectively improve the level of autonomy and controllability. |
| 2022-5 | Ministry | "On Carrying out "Joint Actions" to Promote the Integration and Innovation of Large and Small Enterprises (2022-2025) | Give full play to the role of digital traction of large enterprises. Improve the digitalization level of small and medium-sized enterprises. Enhance the supporting role of the industrial Internet. With finance as a link, optimize the capital chain of large and medium-sized enterprises; With the support of platform carriers, expand the service chain of large and medium-sized enterprises. |
| 2022-3 | State council | The 14th Five-Year Plan for National Informatization | The plan points out that the focus is on the construction of an open source ecosystem to create a high-level industrial ecology; Take the improvement of software value as the starting point to promote the leap of the digital industry; With scientific and technological innovation as the core, we will promote the development and growth of network information enterprises. |
| 2022-1 | State council | The 14th Five-Year Plan for the Development of the Digital Economy | The plan points out that it is necessary to accelerate the promotion of digital industrialization, enhance the ability of key technological innovations, and enhance the competitiveness of core industries. In terms of enhancing the competitiveness of core industries, it is necessary to focus on improving the supply level of basic software and hardware, core electronic components, key basic materials and production equipment, and strengthen the self-sufficiency of key products. |
Source: State Council, Ministry of Industry and Information Technology, National Development and Reform Commission
- IT industry case study
According to the "2020 Top 100 Leading Enterprises in China's Strategic Emerging Industries" released by the China Enterprise Confederation and the China Entrepreneurs Association, 28 new-generation information technology industry enterprises are on the list, ranking first in the industry, of which Huawei ranks first with a revenue of 858.83 billion yuan.
Source: China Enterprise Confederation, China Entrepreneurs Association
Huawei is the world's leading provider of ICT infrastructure and smart devices. Huawei's main businesses include ICT infrastructure, devices, and intelligent vehicle solutions, and it is leading the development trend of "digital industrialization and industrial digitalization".
- Analysis of key applications in the IT industry
The integrated circuit industry is the core of the information industry. In recent years, with the joint efforts of domestic and foreign-funded enterprises, the scale of China's integrated circuit industry has been growing. In 2021, the sales volume of the domestic integrated circuit industry will exceed one trillion yuan for the first time, and the compound growth rate from 2018 to 2021 will be 17%, which is more than three times the global growth rate in the same period. However, the mainland integrated circuit industry is still facing problems such as a weak industrial foundation and insufficient supply of high-end chips. In the next step, the Ministry of Industry and Information Technology will do a good job in the implementation of the "Several Policies for Promoting the High-quality Development of the Integrated Circuit Industry and the Software Industry in the New Era", adhere to integration and innovation, continue to inject vitality into the development of the industry, promote the innovation and development of all links in the industrial chain, and make the market bigger and stronger.
In addition to integrated circuits, a wide variety of widely used electronic components are the cornerstone of supporting the development of the information technology industry, and the key to ensuring the safety and stability of the industrial chain and supply chain.
- Electrical and electronic appliances
Electronics refers to the weak current part of electrical engineering, which mainly studies the processing and transformation of information; Electrical appliances refer to all electrical appliances, such as televisions, refrigerators, fans, computers, etc., from a professional point of view, mainly refers to the electrical devices, equipment and components used to connect and break the circuit and transform the circuit parameters to achieve the control, regulation, switching, detection and protection of the circuit or electrical equipment.
- The distribution of the global electronic and electrical industry
From the perspective of finished mobile phones, China, Southeast Asia and South Asia are currently the main production areas, but Europe and the United States account for nearly 4% of the consumption side, and there is a certain mismatch between production and consumption. From the perspective of the industrial chain, the industry has developed for more than 10 years, and the division of labor in the entire consumer electronics industry chain is relatively clear. Japan and South Korea mainly supply panels, storage, CIS, MLCCs and other core components; China focuses on parts supply, complete machine assembly and other fields, and the industrial supporting facilities in the middle and rear links are relatively complete; India and Viet Nam in Southeast Asia and South Asia mainly undertake the supply of consumer electronic components and complete machine assembly, while the Philippines, Malaysia, Singapore and Indonesia have their own focus. From the perspective of the layout of major industrial chain companies, Asia is still the main focus area of consumer electronics manufacturing companies, and some leading consumer electronics companies have formed a global layout of East Asia/Southeast Asia/South Asia manufacturing + Asia, Europe and the United States R&D + global sales.
The sales areas of global home appliances are mostly concentrated in the Asia-Pacific, North America and European markets. According to the data disclosed in the listing documents of Haier Smart Home Group, in 2020, the Asia-Pacific region will be the world's largest home appliance market, accounting for 45% of retail sales; followed by the North American market, with retail sales accounting for 22%; The European market followed with 20% of retail sales.
Data source: Haier Smart Home Group, Statista
- Policies related to the electronic and electrical industry
The state regards the electronic and electrical industry as a strategic development industry, and has introduced a number of supporting policies to drive the industry to develop in the direction of technological upgrading and create a new industrial structure based on a new generation of electronic information technology.
From 2014 to 2019, relevant favorable policies were frequently issued to escort the rapid development of the electronics industry. In March 2020, 23 departments, including the National Development and Reform Commission and the Ministry of Industry and Information Technology, jointly issued the "Implementation Opinions on Promoting Consumption Expansion and Quality Improvement and Accelerating the Formation of a Strong Domestic Market", encouraging the acceleration of the "smart +" consumption ecosystem, providing new growth demand for smart terminals and Internet of Things scenarios, and ushering in great opportunities for upper-end chip manufacturers and mid-end module manufacturers in the industrial chain. In September 2022, the opinions of the General Office of the State Council on deepening the reform of the management system of the electronic and electrical industry pointed out that it is necessary to optimize the production access and circulation management of the electronic and electrical industry in the whole process, strengthen the supervision of the whole chain and all fields before, during, and after the event, greatly reduce institutional transaction costs, stimulate the innovation momentum and development vitality of enterprises, promote the research and development innovation of technological products and fair competition in the market, effectively maintain the safety and stability of the industrial chain and supply chain related to electronic and electrical appliances, and accelerate the high-quality development of the electronic and electrical industry.
- The development trend of the electronic and electrical industry
The global electronics industry has entered the bottleneck period of smartphone innovation, and the advent of the 5G era will create a broad application scenario for the Internet of Everything, and promote the innovation and upgrading of electronic terminals and upstream components. Compared with United States, Japan and Taiwan, China, the mainland electronics industry extends to upstream materials, equipment and high-end modules limitedly, but the expansion to downstream brand terminals has been fruitful. The rise of brand terminals can provide a positive cycle of "R&D-product-profit" for upstream components, modules, materials and equipment manufacturers, and provide support for upstream manufacturers to further enhance their technological competitiveness and break through core technologies. Therefore, the electronics industry will change from winning by quantity to winning by quality, and will enter a stage of high-quality development.
Globalization, diversification, intelligence and high-end are the main directions for the development of modern electrical appliances. According to Statista data, China occupies the world's largest household appliances market, accounting for 24.4% and 20.2% of the market size of household appliances and small household appliances in 2021. In the face of the vast overseas market, China's household appliances enterprises still have a lot of room for expansion, and in the future, they need to rely on outstanding product competitiveness and management advantages to continue to dig deep into overseas markets and increase market share; With the slowdown of economic growth, the period of rapid urbanization has basically ended, and the current urbanization rate has slowed down to about 1% per year. In order to find new growth drivers, household appliance companies have diversified and expanded. With the increasing maturity of the Internet of Things and cloud computing technology, "intelligence" will continue to empower home life and improve the convenience and interaction of home use through smart single products and whole-house smart homes; In addition, entering the third consumer society has built a background for the continuous upgrading of high-end household appliances in the mainland.
- Semiconductors & Chips
Semiconductors refer to materials that conduct electricity between conductors and insulators at room temperature, and are widely used in consumer electronics, communication systems, medical instruments and other fields; Chips are a method of miniaturizing circuits in electronics, typically fabricated on the surface of semiconductor wafers.
- Regional distribution of China's semiconductor & chip industry
From the perspective of the geographical distribution of the number of semiconductor enterprises, Guangdong Province is the province with the largest concentration of semiconductor industry enterprises, Jiangsu Province ranks second, followed by Zhejiang, Shandong and other provinces; From the perspective of the geographical distribution of representative enterprises, Jiangsu Province is the concentration of representative enterprises in the semiconductor industry, and semiconductor enterprises such as China Resources Micro, Nanda Optoelectronics, and Jianghua Micro are all distributed in Jiangsu Province. At the same time, Zhejiang Province, Shanghai, Beijing Municipality and Guangdong Province have representative enterprises. From the perspective of the distribution of semiconductor industrial parks, China's semiconductor industrial parks are concentrated in the eastern coastal areas, among which the distribution of related industrial parks in Guangdong Province is the most dense, the number of industrial parks in Jiangsu ranks second, and the distribution of industrial parks in Zhejiang, Fujian and other places is also relatively dense.
At present, there are more than 170,000 chip-related enterprises in mainland China. From the perspective of regional distribution, Guangdong Province ranks first with 39,500 chip-related enterprises, and Jiangsu and Shandong have 15,100 and 7,545 chip-related enterprises respectively, ranking among the top three. Since then, Zhejiang, Shanghai, Fujian and other provinces have followed; From the perspective of urban distribution, Shenzhen has 21,600 chip-related enterprises, ranking first on the list. Guangzhou and Suzhou have 11,500 and 4,433 chip-related enterprises respectively. Since then, it has been followed by Xi'an, Nanjing, Xiamen and other cities.
Data source: Qichacha
The 14th Five-Year Plan provides important guidance for the semiconductor industry and emphasizes the development of third-generation semiconductors. Accordingly, listed companies in the industry have realized the importance of high-end product research and development and domestic substitution, and actively deployed high-end chips and third-generation semiconductor materials.
- Analysis of China's import and export of semiconductor equipment
According to the data released by the General Administration of Customs, the main export countries or regions of mainland semiconductor equipment in 2022 are: Singapore, Taiwan, United States, Korea, Japan, Malaysia, Hong Kong, China, Viet Nam, India, Thailand, etc. Singapore. China's Taiwan and United States are the main export destinations of the mainland, accounting for more than 10% of the market share. From the perspective of individual countries or regions, the export value of the top 10 countries or regions generally increased, only Hong Kong, China fell, of which the export value of India and Thailand increased by more than 100% year-on-year.
From the perspective of import source countries, in 2022, the main importing countries or regions of semiconductor equipment in mainland China are: Japan, United States, Singapore, Korea, Taiwan, Netherlands, Malaysia, Germany, Austria, etc. Japan, United States, Singapore and Korea are important overseas importers of the mainland, of which Japan's imports account for one-third of the mainland's total imports. The import value of the top ten countries or regions generally declined, with the United States, Korea and Netherlands declining by more than 20%; Only two countries, Malaysia and Austria, saw year-on-year growth in imports.
Source: General Administration of Customs
- Analysis of the current situation of the semiconductor industry in China and Japan
Japan's Ministry of Economy, Trade and Industry publicly announced that it will implement export control measures to China on 23 types of semiconductor manufacturing equipment starting July 23, 2023. However, the semiconductor industry is one of Japan's pillar industries, and the Chinese market is Japan's main semiconductor export destination. In 2022, Japan's total export of semiconductor manufacturing equipment to China exceeded 820 billion yen, accounting for 30% of Japan's total export of semiconductor equipment.
Since the United States launched a trade war against China, China has issued a number of executive decrees to promote the rapid development of local semiconductor technology, and has achieved many results, such as an advanced quantum chip production line. At the end of 2019, SMIC made it clear that its self-developed and produced 14nm chip production equipment had been put into mass production. In 2021, SMIC's 14nm chip production yield rate has reached 95%, catching up with the technical level of TSMC's similar products. At the same time, Continental's 7-nanometer chips have also been put into production on a small scale. Japan's current sanctions will make China invest more scientific research strength and funds to gradually realize the complete localization of chips.