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Huawei AI chip production

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Huawei to Boost AI Chip Output Amid Nvidia’s Struggles in China

by Nakayenga Patricia Renee
September 30, 2025
in Huawei
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Huawei Technologies is gearing up to significantly increase its production of AI chips next year, aiming to capitalize on opportunities in the world’s largest semiconductor market. With Nvidia facing geopolitical challenges, Huawei plans to produce approximately 600,000 of its flagship 910C Ascend chips, doubling its output from 2025. The Chinese tech giant’s partnership with Semiconductor Manufacturing International Corp. (SMIC) has helped overcome obstacles imposed by U.S. sanctions, allowing Huawei to ramp up production.

This shift in Huawei’s AI chip production signals a significant breakthrough, as it looks to reduce China’s reliance on foreign semiconductor technology. By 2026, Huawei aims to boost output further to 1.6 million Ascend chip units, marking a critical step toward achieving self-reliance in technology. This ambitious move could help the company maintain its position as a leader in China’s AI industry and chip development.

Huawei’s strategic decision to ramp up production comes as the company works closely with SMIC to streamline its manufacturing process, overcoming bottlenecks that had plagued production throughout 2025. Despite previous setbacks, including the impact of U.S. sanctions, these new figures demonstrate that Huawei is overcoming challenges and making substantial progress toward fulfilling Beijing’s broader objectives for tech self-sufficiency.

As Nvidia faces increasing pressure from global trade tensions and shifting market dynamics, Huawei’s decision to double its AI chip production highlights the competitive race for dominance in the growing semiconductor industry. Huawei’s rise as a tech powerhouse is poised to reshape the global AI chip market as it pushes forward with innovation and production expansion.

In the coming years, Huawei’s focus on scaling production aligns with China’s ambition to develop an independent technological ecosystem, reducing reliance on foreign suppliers. This shift could have profound implications for the semiconductor industry, positioning Huawei as a key player in the global market.

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