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MS_-_China_AI_GPUs_Closing_the_Gap_with_

seedling literature 2026-03-26

M Asia Pacific Insight

March 11, 2026 10:21 PM GMT

Greater China Semiconductors

China AI GPUs – Closing the Gap with the US

High AI capex and sustained policy support have catalyzed China’s AI GPU ecosystem. In this deep dive, we introduce a framework to assess the sector’s commercial value, competitiveness, and consolidation path.

Rapid expansion of AI technologies is driving

China’s transition toward a higher quality growth

model. Last year, we examined the state of AI

development in China and its trajectory toward

2030 and beyond in our Bluepaper report China –

AI: The Sleeping Giant Awakens. In this report, we

focus on the core of China's AI infrastructure – the

AI chips that underpin this technology – and assess the evolving demand outlook,

foundry supply constraints, and competitive landscape shaping the sector.

Morgan Stanley Taiwan Limited+

Charlie Chan Equity Analyst

                    [email protected]

                    +886 2 2730-1725

Morgan Stanley Asia Limited+

Gary Yu Equity Analyst

                    [email protected]

                    +852 2848-6918

Morgan Stanley Taiwan Limited+

Daniel Yen, CFA Equity Analyst

                    [email protected]

                    +886 2 2730-2863

Morgan Stanley Asia Limited+

Eva Hou Equity Analyst

                    [email protected]

                    +852 2848-6964

Daisy Dai, CFA Equity Analyst

                    [email protected]

                    +852 2848-7310

Henry Zhao Research Associate

                    [email protected]

                    +852 2239-7731

Joanne Lau Research Associate

                    [email protected]

                    +852 3963-1592

Evan Chen Research Associate

                    [email protected]

                    +852 2848-7317

    Significant progress in domestic AI GPU      supply: For an extended period, the

diffusion of AI in China was constrained not by power, data or engineering talent,

Tom Tang Equity Analyst

but by restricted access to advanced AI chips under US export controls. China

started developing local AI GPUs from 2020, with limited access to overseas

leading-edge process technology. This window effectively closed in 2022 as controls

                    [email protected]

                    +852 3963-1860

Morgan Stanley Taiwan Limited+

Tiffany Yeh Equity Analyst

ti

... (총 80,000자, 전문은 첨부파일 참조)

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