The AI Chip Arms Race: How China Built Its Own “Manhattan Project”


In a high-security laboratory in Shenzhen, China, scientists have developed a prototype machine capable of producing advanced semiconductor chips crucial for technologies such as artificial intelligence and military applications, a goal that the U.S. has long sought to prevent.

This prototype, completed in early 2025 and currently in the testing phase, occupies almost an entire factory floor. It was assembled by a group of engineers previously employed by ASML, a Dutch semiconductor company, who reverse-engineered the extreme ultraviolet lithography machines (EUVs) essential for chip production. EUV machines utilize extreme ultraviolet light to carve out infinitesimal circuits on silicon wafers—an ability that remains predominantly in the hands of Western companies.

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Source: ModernDiplomacy News


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