SMIC Revenue Holds Steady as AI Chip Demand Offsets Consumer Electronics Slowdown
Semiconductor Manufacturing International Corp (SMIC), China's largest contract chipmaker, reported stable revenue growth despite weakening demand for smartphone and low-end electronics chips. The company attributed this resilience to surging orders for artificial intelligence-related semiconductors.
SMIC's 2026 revenue climbed 16.2% year-over-year to $9.3 billion, with net profit jumping 39% to $685.1 million. The foundry shipped 21% more wafers in 2025 compared to 2024, totaling 9.7 million units, while operating NEAR maximum capacity at 93.5% utilization.
The U.S.-China trade war continues reshaping supply chains, with Beijing pushing for greater semiconductor self-sufficiency. SMIC's performance demonstrates how specialized chip demand can buoy manufacturers even as traditional consumer electronics markets soften.
