Ministry of Commerce Initiates Anti-Dumping Probe into U.S.-Made Analog Chips; Domestic Localization Prospects Expand

The Ministry of Commerce announced today that, under Article 16 of China’s Anti-Dumping Regulations, it will launch an anti-dumping investigation into analog chips imported from the United States, effective September 13, 2025. The dumping review period covers January 1 to December 31, 2024, while the injury investigation spans January 1, 2022, through December 31, 2024. The products under scrutiny are general-purpose interface IC chips and gate-driver IC chips produced on 40 nm and larger process nodes.

Analog chips function as the essential bridge between real-world signals and digital systems, performing signal acquisition and conditioning. These devices are distinguished by a broad array of specifications, extended product lifecycles, and highly customized design requirements.

According to WSTS data, the global analog chip market contracted by 2.7 percent in 2024 owing to macroeconomic headwinds and elevated inventory levels. As industry destocking nears completion and demand recovers in automotive, industrial automation, and data-center applications, WSTS forecasts market growth of 3.3 percent in 2025 and 5.1 percent in 2026, reaching USD 82.2 billion and USD 86.4 billion, respectively.

High technical barriers and lengthy development timelines have historically enabled overseas vendors to dominate analog-chip design. IC Insights reports that all ten of the leading global analog-chip manufacturers in 2023 were foreign companies, collectively holding 68 percent of the market. Concurrently, China represents approximately 35 percent of worldwide analog-chip consumption. In fiscal 2024, Texas Instruments, Analog Devices, and Monolithic Power Systems are each expected to derive about USD 3.0 billion, USD 2.1 billion, and USD 1.2 billion, respectively, from Chinese sales—totaling USD 6.3 billion—underscoring substantial scope for domestic substitution.

Domestic brokerage research indicates that China’s analog-chip supply chain is relatively mature for products based on established process technologies. Huachuang Securities estimates a 16 percent self-sufficiency rate for analog chips in 2024, with localization leading in consumer-electronics applications and significant replacement potential remaining in mid- to high-end industrial and automotive segments.

Guosen Securities identifies the industrial, automotive, and AI sectors as priority areas for both international incumbents and local innovators. Industrial demand is set to resume as inventories clear and new products enter production, leveraging recent R&D investments. In AI applications, the localization of power-management chips—particularly multiphase controllers—constitutes both a growth driver and a development challenge. Automotive analog chips continue to represent an expanding market, with domestic suppliers transitioning from initial product launches to concentrated volume growth. In consumer electronics, firms are diversifying from focused product lines to integrated, one-stop analog solutions, intensifying market concentration.

Analysts recommend monitoring SG Micro Corp., Jiehua Technology, Sirepu, Naxin Microelectronics, Nanxin Technology, Aiwei Electronics, Chipown Microelectronics, DIO Microelectronics, and Jingfeng Mingyuan.