China is making significant strides in semiconductor manufacturing despite U.S. export restrictions, with Shenzhen SiCarrier Industry Machines developing domestic tools to produce 5-nanometer (nm) chips without relying on extreme ultraviolet (EUV) lithography.

At the Semicon China industry fair, SiCarrier president Du Lijun revealed that the company is using non-optical technologies—such as multi-patterning with etching and deposition techniques—to overcome the lack of access to advanced lithography tools.

“There might be a path where we can use non-optical technologies, that is, using our process equipment to solve some of the lithography issues,” Du stated.

Multi-Patterning as an Alternative to EUV

SiCarrier’s approach relies on deep ultraviolet (DUV) lithography combined with self-aligned quadruple patterning (SAQP), an advanced technique that enables finer chip features without EUV.

  • DUV lithography is less advanced than EUV but remains accessible to Chinese chipmakers.
  • SAQP compensates for DUV’s limitations by repeatedly etching and depositing layers, improving resolution.
  • However, multi-patterning increases manufacturing complexity—potentially adding 20% more steps when transitioning from 7nm to 5nm chips.

SiCarrier was granted a patent for its multi-patterning process in late 2023, which reduces manufacturing costs by avoiding ASML’s restricted EUV machines.

China’s Growing Chipmaking Ecosystem

SiCarrier’s equipment is already in use by Semiconductor Manufacturing International Corporation (SMIC), China’s leading foundry. Additionally, the company reportedly collaborates with Huawei, a major force in China’s push for self-reliance in semiconductor technology.

The firm, founded in 2022, is backed by a state investment fund in Shenzhen and was one of 140 Chinese companies added to the U.S. trade blacklist in December 2023.

Despite U.S. restrictions, China is rapidly advancing in semiconductor fabrication, leveraging alternative techniques to sustain progress in high-end chip manufacturing.