Semiconductor Manufacturing International Corporation (SMIC), a national leader in IC chip manufacturing, opened a branch in Ningbo, East China's Zhejiang province on Nov 20, local media reported.

In 2018, China imported 2.06 trillion yuan ($307.46 billion) worth of chips, accounting for 14.62 percent of total imports. The figure was 1.3 times that of imported oil in terms of total value.

Zhang Rujing, founder of SMIC, suggested at a conference held in Ningbo in September that the city accelerate the industrialization of high-end chip manufacturing.

Wu Hanming, CEO of SIMC's branch in Ningbo, pointed out that China's integrated circuit industry is still backward in chip manufacturing and the integrity of industrial chain.

The new branch's establishment is expected to help Ningbo develop into a manufacturing hub for chipsets, he added.

In recent years, Ningbo has been ramping up efforts to improve its semiconductor industry.

Last year alone, more than 60 semiconductor projects were carried out in the city, with a combined investment of more than 30 billion yuan.

A complete semiconductor industrial chain which includes design, manufacturing and packaging has formulated in Ningbo.

In addition to SMIC, other leading players in the city's IC chip sector include Konfoong Materials International Co, QL Electronics Co and Ningbo Kangqiang Electronics Co.