Advanced Micro-Fabrication Equipment (Amec), a leading Chinese semiconductor equipment maker, has reported its plasma-etching technology is now an industry benchmark adopted by international peers, signaling China’s advancing role in chipmaking tools amid growing domestic demand and global market growth.
- Amec’s plasma-etching tech adopted by major international rivals
- Domestic market drives record $135 billion global semiconductor equipment sales
- Amec reports nearly 200% profit growth and raises order guidance
What happened
Advanced Micro-Fabrication Equipment (Amec), a prominent Chinese semiconductor equipment manufacturer, announced that its plasma-etching technology has become an industry standard and is now adopted by some of its major international competitors. This technology supports chip manufacturing for node sizes ranging from established 65-nanometre processes to cutting-edge 5nm and 3nm semiconductors.
Amec’s equipment is also used by Taiwan Semiconductor Manufacturing Company (TSMC), the world’s largest contract chipmaker. The company’s founder, Gerald Yin Zhiyao, emphasized the strategic importance of technological innovation developed internally rather than copying foreign designs, which has helped Amec establish a strong domestic and global market position since its founding in 2004.
Why it matters
Amec’s rise coincides with China’s broader push for semiconductor self-sufficiency amid increasing US export restrictions targeting Chinese tech firms. By replacing foreign equipment with indigenous alternatives, Chinese manufacturers aim to mitigate supply chain vulnerabilities and develop a robust local semiconductor ecosystem.
Mainland China leads the global semiconductor equipment market in spending, accounting for over 36% of total demand with nearly $50 billion invested in 2025 alone. This growth is driven by expanding manufacturing capacity for AI servers, high-performance computing, and memory chips, presenting significant opportunities for domestic suppliers like Amec despite geopolitical headwinds.
What to watch next
Following a remarkable 197.2% increase in first-quarter net profit and a 224% surge in revenue from its metal-organic chemical vapor deposition (MOCVD) business, Amec raised its full-year order growth forecast to 50%. Observers will be monitoring how Amec sustains this rapid growth and whether it can close remaining technological gaps against US, Japanese, and Dutch competitors, particularly in advanced lithography.
As China continues to invest heavily in semiconductor manufacturing capacity and supply chain independence, Amec’s innovations and market expansions will be key indicators of how successful Chinese firms can be in reshaping the global semiconductor equipment landscape over the coming years.