Huawei, SMIC struggle to achieve 5-nanometer chip tech: report

Huawei Technologies is facing difficulties in achieving 5-nanometer chip production due to ongoing US sanctions, according to an analysis by Canadian research firm TechInsights.

The analysis indicates that Huawei’s recently launched MateBook Fold Ultimate Design laptop uses the Kirin X90 system-on-a-chip (SoC), produced by Semiconductor Manufacturing International Corporation (SMIC) using a 7-nanometer process.

This contradicts earlier predictions that Huawei had advanced to a 5-nanometer process, which remains challenging due to US export restrictions on advanced chipmaking equipment.

Launched in May 2025, the MateBook Fold runs on HarmonyOS and shows Huawei’s push for self-reliance in hardware and software.

TechInsights said Huawei lags behind rivals like Apple, which uses 3-nanometer chips, while SMIC faces production yield issues.

Huawei is progressing in AI chips, though CEO Ren Zhengfei admits its processors are behind US peers, with SMIC also struggling to scale 5-nanometer production.

🔗 Source: South China Morning Post

🧠 Food for thought

1️⃣ The semiconductor gap reveals the steep challenges of technological leapfrogging

Huawei’s continued reliance on 7nm chips manufactured by SMIC highlights the extraordinary difficulty of advancing semiconductor technology without access to cutting-edge equipment.

The gap between SMIC and global leaders has actually widened since US sanctions began in 2019, with TSMC now producing at 3nm while SMIC struggles to reach 5nm at scale1.

This technological disparity exists despite massive Chinese government investments in semiconductor self-sufficiency, reportedly hundreds of billions of dollars2.

Industry experts estimate China remains approximately five years behind global leaders in high-volume manufacturing of advanced semiconductor chips, despite concentrated national efforts2.

The situation demonstrates how complex modern chip manufacturing has become. Even with significant funding and engineering talent, developing advanced nodes requires specialized equipment and decades of accumulated expertise that cannot be easily replicated.

2️⃣ Sanctions have forced strategic pivots that reveal alternative paths to computing power

Huawei’s adaptation to technology restrictions shows how companies can find unconventional routes to maintain competitiveness when direct paths are blocked.