China's foundries have won the mature-node argument, not the self-sufficiency one
China's contract chipmakers spent the first half of 2026 proving something narrower than the headlines suggest. They demonstrated that domestic fabs can run at full capacity, raise prices, and earn money at mature nodes, largely on the strength of Chinese customers buying Chinese wafers. What the same results do not show is a country that has closed the gap where the gap actually binds — lithography, high-end metrology, and the leading edge.
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