Yes, that’s correct — leading Chinese smartphone makers like Xiaomi have successfully designed advanced 3nm chips, and these designs are being fabricated by TSMC. While China’s domestic fabs (like SMIC) are still limited to more mature nodes, Chinese brands are leveraging TSMC’s cutting-edge manufacturing to stay competitive at the high end.
?? What’s happening with Chinese device makers- Xiaomi’s breakthrough: In 2025, Xiaomi announced mass production of its self-designed 3nm SoC (XRING 01), making it only the fourth company globally (after Apple, Qualcomm, and MediaTek) to achieve this milestone.
- TSMC involvement: Reports indicate Xiaomi’s XRING 01 is built on TSMC’s 3nm process, rivaling chips like Qualcomm’s Snapdragon 8 Gen 2.
- Huawei’s precedent: Huawei also shocked markets earlier with chip breakthroughs despite U.S. sanctions, showing that Chinese firms can design at advanced nodes even if domestic fabrication lags.
?? Key distinction- Design vs. fabrication:
- Design: Chinese companies (Xiaomi, Huawei, Oppo, etc.) are proving they can architect chips at 2nm–3nm levels.
- Fabrication: These designs are still largely manufactured by TSMC in Taiwan, since China’s own fabs (like SMIC) are constrained to older nodes (around 7nm or higher).
- Sanctions impact: U.S. restrictions mainly target China’s access to advanced fab equipment, not the ability of Chinese firms to design chips. As long as TSMC accepts their business, Chinese brands can ship phones with cutting-edge silicon.
Implications- China’s smartphone brands remain globally competitive because they can design advanced chips and outsource fabrication to TSMC.
- Strategic vulnerability: Reliance on TSMC means Chinese firms are exposed to geopolitical risks — if restrictions tighten, their access to 2nm/3nm production could be cut off.
- Domestic push: China is investing heavily to close the fabrication gap, but catching up to TSMC’s 2–3nm capability will take years.
So in short: Chinese device makers can design 2nm–3nm chips, but they still depend on TSMC to fabricate them. That’s why you’re seeing China phones with 3nm silicon today.
Would you like me to also explain which upcoming Chinese phones are expected to ship with these 3nm chips? That would give you a concrete sense of how this plays out in the consumer market. |
