China power chip makers CRM, Silan post sharp 1H profit gains

The sharp profit growth at China Resources Microelectronics and Silan Microelectronics in the first half of 2026 signals a tangible recovery in global semiconductor demand. Technologically, this boosts upstream suppliers, especially in advanced node materials like silicon wafers, photoresists, and EUV equipment. From a compliance standpoint, ongoing U.S.-China tech decoupling forces supply chain reshoring, though reliance on imported high-end components remains a vulnerability. In competitive terms, leading firms may expand capacity to squeeze out smaller players. Over the next 12–24 months, sustained global demand could accelerate domestic substitution, but geopolitical tensions will continue to shape investment timing and R&D strategies.