A signing ceremony was held in the national Xi'an High-Tech Industries Development Zone on Dec 9 to announce the establishment of a silicon industry base project.

Hu Heping, governor of Shaanxi province, and Wang Yongkang, Xi'an municipal Party secretary, witnessed the signing of the document of cooperation between Beijing SPC Investment and semiconductor industrial platform Beijing ESWIN Technologies.

With a total investment of over 10 billion yuan ($1.5 billion), the industrial base, mainly planned by ESWIN, is meant to take a lead in the silicon industry.

Statistics from IC Insights, a semiconductor market research company, shows that due to the increasing number of the wafer plants across the globe, the basic silicon materials will be in short supply in the future. The project is expected to establish a whole industrial semiconductor chain and open a new chapter in China's silicon industry.

Wang Yongkang said at the signing ceremony that the cooperation is of great significance in its boost to Xi'an's manufacturing industry, adding that more entrepreneurs are warmly welcomed to help the city become an innovation center of the global silicon market.

Wang Dongsheng, chairman of the SPC, was deeply impressed by the development zone's passion and expertise in high-tech industries and appreciated the premium service provided. He said that the company will beef up efforts to build the project into a model for the industry.

The Beijing SPC Investment was initiated by business partners, including BOE Technology Group, China Integrated Circuit Industry Investment Fund Co and Beijing E-town International Investment & Development Co, in 2015.