Great Wall Motor to set up new semiconductor company

Beijing (Gasgoo)- Great Wall Motor announced on October 22 its plan to incorporate a semiconductor joint venture which will involve a registered capital of 50 million yuan ($689.4 million).

TANK 300; photo credit: Great Wall Motor

To be named Xindong Semiconductor Technology Co., Ltd., the company will have three listed shareholders, namely Great Wall Motor, Wei Jianjun (chairman of Great Wall Motor), and Wensheng Technology (Tianjin) Co., Ltd. (a subsidiary directly held by Wei Jianjun), which will subscribe for 10 million yuan, 5 million yuan, and 35 million yuan of the registered capital, respectively. 

According to the announcement, the new company's business scope includes integrated circuit design, integrated circuit layout design agent services, integrated circuit manufacturing, as well as electronic components and module manufacturing.

In fact, Great Wall Motor has been laying out in the chip field for a while now. In February 2021, the company completed a strategic investment in Horizon Robotics. Later on December 29, the automaker signed another strategic agreement with Tongguang Semiconductor Co., Ltd., to focus on the application of the third-generation new-type wide bandgap semiconductor silicon carbide in the new energy vehicle industry.

Moreover, in August this year, Great Wall Holdings Group inked a strategic cooperation agreement with Xishan Economic and Technological Development Zone, Jiangsu Province to build a sealing, testing, and manufacturing base for third-generation semiconductor modules with a planned investment of 3.8 billion yuan ($482.6 million).