An aerial view of Jiangdong Chip Valley in Qiantang New Area, Hangzhou, capital of East China's Zhejiang province [Photo/zjol.com.cn]

A ceremony was held to inaugurate 25 chip production-related projects in the Hangzhou Qiantang New Area, which has developed an industrial chain covering various aspects of integrated circuits production, local media reported on Aug 19.

Since the beginning of this year, the Hangzhou Qiantang New Area has made concerted efforts to boost chip research and production as the integrated circuit industry is regarded as the core of a country's information technology industry.

Before the inauguration ceremony, the area had 66 companies in the integrated circuit industry, generating 23.7 billion yuan ($3.43 billion) in total industrial output in 2019.

Shi Feng, director of the management office of Jiangdong Chip Valley in the Hangzhou Qiantang New Area, said that the zone has launched 14 policies to support the growth of various aspects of the integrated circuit industry, including chip technology, materials for chips and chip design.

Shi revealed that the zone has been negotiating with several companies that are expected to bring their chip-related projects to the valley, as well as invited professors and experts from universities to form a think tank that could bolster the growth of its integrated circuit industry.

Financial aid for companies specializing in the production of integrated circuits has also been provided. For example, Zhixing Semiconductor Company received 20 million yuan in funds from the Qiantang New Area to start its chip production project.

Huang Xiaohui, deputy general manager of the company, said that the project is now underway and is expected to produce its first chip within half a year.