Tech Insider: Southwest Province Has Big EV Battery Dreams, Qualcomm Mulls China Layoffs
South Korea pleads with U.S. over China chip curbs, Huawei founder says company will prevail
Qualcomm China Headquarters in Shanghai. Photo: VCG
Sichuan wants to be a ‘world-class’ EV battery bub
Southwest China’s Sichuan province has unveiled a plan to become a “world-class lithium battery production base” within the next five years, capitalizing on its bountiful lithium reserves and hydropower resources.
The goal is to top 800 billion yuan ($110 billion) of total production value by 2027, according to a government document released Wednesday. The plan includes expediting the development of lithium reserves in the province’s northwest and building an industry ecosystem that spans the entire supply chain.
The ambitious proposal comes as the province seeks to strengthen its position as one of the country’s leading electric-vehicle (EV) battery producers and expand its influence in the global market.
In 2022, Sichuan’s battery production reached 83 gigawatt-hours (GWh), about 17% of national output, according to provincial government data.
Qualcomm considers bringing China into its global layoff plan
Qualcomm Inc. is mulling “adjustment measures” in China as part of a previously announced cost-control plan including layoffs designed to prevent its key investment from being affected by macroeconomic and demand uncertainties, the U.S. chipmaker told Caixin.
The news comes amid rumors of massive layoffs at its Shanghai research and development center and six months after Qualcomm President and CEO Cristiano Amon reaffirmed the company’s commitment to expanding its business in China and highlighted the huge market potential for its chip products in the country’s booming electric vehicle industry.
“While the corresponding plans are still being developed, we expect that major measures will include layoffs,” Qualcomm said Thursday, echoing an August statement, without specifying how many workers will be affected.
Huawei founder says company will prevail
Facing U.S. sanctions and an increasingly challenging environment abroad, Huawei Technologies Co. Ltd. “will grow more prosperous despite mounting difficulties,” company founder Ren Zhengfei said in an interview.
Ren made the remarks during a July interview with Liu Yadong, the former editor-in-chief of Science and Technology Daily, who published it Thursday on his personal WeChat account. The daily is an official publication of the Ministry of Science and Technology.
If China can establish its own system of technological standards, it will be better than that developed by the U.S., a patchwork that has been around for more than 50 years and has been mended over and over, Ren said. The new standards could be adopted by the whole world, he said.
South Korea pleads with U.S. on China chip curbs
South Korea has urged the U.S. to “actively cooperate” in resolving issues related to semiconductor export curbs, as a waiver that allows the China production bases of two South Korean chipmakers to circumvent the restrictions nears expiration.
Bang Moon-kyu, head of South Korea’s Ministry of Trade, Industry, and Energy made the request during a meeting with U.S. Deputy Secretary of Commerce Don Graves on Friday, according to a ministry statement.
The statement made no mention as to whether Graves responded specifically to Bang’s request. However, a day earlier Graves told South Korean media that his government understands the concerns and “will do everything” to ensure that domestic firms are able to continue their legitimate business.
Subsidies aside, EV-maker Zeekr sweeps into Europe
Electric-vehicle (EV) maker Zeekr is banking on extra momentum from sister brands like Volvo Car AB to push into Europe, just as Chinese carmakers’ ambitions in the region move into the crosshairs of global trade tensions.
The brand, part of billionaire Li Shufu’s sprawling auto empire that includes stakes in Mercedes-Benz Group AG, started European sales of two models just weeks ago and plans to add another seven by 2025. The aspirations could hit a roadblock should the European Union impose extra import tariffs on Chinese EVs, after opening a probe into state aid last week.
Being part of Li’s Zhejiang Geely Holding Group Co. Ltd. “is giving us an important head start,” Europe head Spiros Fotinos said, while declining to comment on the EU investigation.