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China Briefings

Reports on China issued by Samsung Economic Research Institute

China Business Intelligence No. 218

China Business Intelligence No. 218

Samsung Economic Research Institute Beijing Office

Dec. 12, 2012

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Although China is the largest car producer and seller in the world, its use of electronic chips for cars is low. Demands for electronic chips are expected to grow in the car market, as chips can be harnessed widely for cars and consumer demands for higher safety, comfortability and more entertainment are rising. Currently, the auto chip market is dominated by global companies and they are enjoying healthy revenue. One of their success factors is R&D in partnership with Chinese companies and universities. As the national government provides favorable treatments to the auto chip market to nurture Chinese companies, those who are considering entering into the market should monitor changes in demands and seek Chinese partners.

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