SemiAnalysis: China’s Etching Equipment Localization Accelerates, North China Creation Leads in ChangXin ICP Etching Market

Huo Xing Cai Jing reports that on June 26, the semiconductor and AI independent research firm SemiAnalysis stated that China’s domestication progress in etching equipment is accelerating, significantly outpacing that of deposition equipment. Data shows that, year-to-date this year, imports of etching equipment in China’s front-end equipment sector declined by 18% year-over-year, while imports of deposition equipment increased by 3%. SemiAnalysis believes this indicates China has achieved substantial breakthroughs in domestic substitution for etching processes. Global etching leaders’ financial reports corroborate this assessment: Applied Materials’ revenue from China declined by 16% in fiscal year 2025, and Tokyo Electron’s revenue from China fell by 18% in fiscal year 2026. SemiAnalysis points out that NAURA Technology Group is a key driver of this trend; channel research indicates it now holds the leading market share in ICP etching equipment at ChangXin Memory Technologies. As ChangXin continues to expand production, NAURA is poised to further consolidate its market position and increase its revenue scale.