Suzhou Everbright Photonics, which makes high-powered diode laser and radar sensor chips, said China’s retaliatory tariffs on American imports would prove helpful because the “cost of imported chips will be higher and uncertainties in the supply chain will be greater” for domestic clients.
The Shanghai-listed company, whose shares gained 5.4 per cent on Tuesday, said China is expected to be more steadfast in replacing imported chips with local alternatives, as the trade war intensifies.
That view was echoed by Chipsea Technologies (Shenzhen) Corp, which supplies semiconductors for home appliances and automobiles. The firm said the US-China tariff war would see local chips expand their market share on the mainland. Chipsea’s shares in Shanghai were up 4.38 per cent.
