To implement the requirements set forth in the “Guangdong Province Action Plan for Cultivating Strategic Emerging Industrial Clusters in Semiconductors and Integrated Circuits (2021–2025)” and the “Dongguan City Action Plan for Developing Strategic Pillar Industrial Clusters in Semiconductors and Integrated Circuits (2022–2025),” to establish a new hub for the clustered development of the semiconductor and integrated circuit industries, and to promote high-quality economic development, the following policy measures are formulated in accordance with the actual conditions of our city.
For the purposes of this policy, “semiconductor and integrated circuit enterprises (entities)” refer to enterprises (entities) that possess independent legal person status, operate on a separate accounting basis, and have their business premises, business registration, tax registration, and statistical affiliation all located within the Dongguan Semiconductor and Integrated Circuit Industrial Cluster Zone, and that are specifically engaged in the design, manufacturing, packaging and testing, equipment, materials, and new application production and R&D operations of semiconductors and integrated circuits.
I. Support for Enterprise Introduction and Cultivation
(1) Building Distinctive Industrial Clusters. With the Songshan Lake Area, Binhaiwan New District, and the Shenzhen-adjacent New Generation Electronic Information Industry Base as core zones, we will emphasize application-driven development and actively introduce and cultivate projects in high-end chips, advanced packaging and testing, semiconductor components, semiconductor equipment manufacturing, and compound semiconductors to create a distinctive hub for the integrated circuit and chip industries.Support the construction of specialized industrial parks for third-generation semiconductors, integrated circuit design, advanced packaging and testing, and semiconductor equipment. Industrial parks with distinct industrial characteristics, comprehensive service functions, and rapid output value growth will be eligible for a reward of up to 10 million yuan upon certification.
(2) Support the establishment of major strategic projects. Support the introduction of major strategic projects in semiconductors and integrated circuits that address supply chain gaps and strengthen industrial chains. For major projects in key sectors such as semiconductor and integrated circuit design, manufacturing, compound semiconductors, advanced packaging and testing, and semiconductor equipment, provide “case-by-case” support, offering priority assistance in areas including equipment investment, land use, energy consumption, environmental emission standards, and financing.
(3) Strengthening Incentives for Enterprise Growth. For semiconductor and integrated circuit design and R&D enterprises, those whose annual operating revenue exceeds 100 million yuan, 300 million yuan, 500 million yuan, 1 billion yuan, or 2 billion yuan for the first time will be granted one-time rewards of up to 1 million yuan, 2 million yuan, 3 million yuan, 4 million yuan, or 5 million yuan, respectively.For enterprises engaged in semiconductor and integrated circuit manufacturing, packaging and testing, compound semiconductors, equipment, and materials, a one-time reward of up to 1 million yuan, 2 million yuan, 3 million yuan, 4 million yuan, or 5 million yuan will be granted when annual operating revenue first exceeds 300 million yuan, 500 million yuan, 1 billion yuan, 2 billion yuan, or 3 billion yuan, respectively. A reward will be granted each time a new revenue threshold is reached.
(4) Support the coordinated development of upstream and downstream sectors in the industrial chain. Support the integration of chips and equipment, encouraging terminal manufacturers and system solution integrators to procure chips, modules, equipment, and materials independently developed and designed by local semiconductor and integrated circuit enterprises. Develop an industrial chain and supply chain matching platform to facilitate “chain-leading” enterprises in regularly publishing lists of product (service) demands, while collecting lists of supporting product (service) supplies from enterprises across the industrial chain to strengthen supply-demand matching.Strengthen coordination across the industrial chain. Support the establishment and development of social organizations such as the Dongguan Integrated Circuit Industry Association. Provide appropriate funding to such associations to help them integrate resources from across the industrial chain and carry out service activities including industry-academia-research collaboration, standard-setting, policy advisory services, and industry exchanges. This will foster a semiconductor and integrated circuit innovation “ecosystem” and create a distinctive cluster ecosystem.
II. Support for Product R&D and Application
(5) Support R&D of Key Technologies. Support semiconductor and integrated circuit enterprises in carrying out R&D projects with significant innovation and breakthroughs in fields such as high-end chips, advanced packaging and testing, and compound semiconductors. For projects included in the scope of rewards under the "Implementation Measures for Major Science and Technology Projects in Dongguan (Trial)," a reward of up to 30 million yuan, not exceeding 25% of the total investment, will be provided.
(6) Support for Enterprise Purchases of Design Tools and IP. For semiconductor and integrated circuit design enterprises purchasing EDA design tool software, funding of up to 30% of the actual expenses incurred will be provided. For purchases of domestically produced EDA design tool software, funding of up to 50% of the actual expenses incurred will be provided, with an annual total per enterprise not exceeding 3 million yuan.Enterprises purchasing IP for high-end chip R&D will receive funding of up to 20% of the actual IP purchase costs, with an annual cap of 2 million yuan per enterprise.
(7) Support for enterprises conducting first-round tape-out verification. For semiconductor and integrated circuit design enterprises conducting multi-project wafer (MPW) tape-outs, a subsidy of up to 60% of the first-round tape-out costs (including IP licensing, mask fabrication, and testing/verification) will be provided, with an annual subsidy cap of 3 million yuan.Enterprises that successfully complete their first full-mask (FULLMASK) engineering product tape-out will receive a subsidy of up to 50% of the first-round tape-out costs, with an annual subsidy cap of 5 million yuan. For products that fill gaps in the city’s chip industry chain, the tape-out subsidy rate may be increased by up to 10%.
(8) Support the construction of public service platforms and industrial innovation platforms. Support universities, research institutions, and enterprises in jointly building industrial public service platforms and industrial innovation platforms to provide services such as EDA tools, IP sharing, design services, advanced process tape-outs, testing and verification, and talent training. Funding will be provided at a rate of up to 30% of the actual fixed-asset investment in public service platforms and industrial innovation platforms, with a maximum funding amount of 30 million yuan.
(9) Support enterprises in obtaining automotive-grade certifications.For production lines or products that pass automotive electronics automotive-grade certifications such as AEC-Q100 (integrated circuits), AEC-Q101 (discrete devices), AEC-Q200 (passive components), as well as the ISO/TS 16949 and ISO 26262 systems, a one-time subsidy of up to 50% of the actual certification costs per enterprise will be provided, with a maximum of 1 million yuan.
III. Strengthening Financial Support
(10) Strengthen support through industrial funds. Establish an industrial fund system with a scale of no less than 10 billion yuan for the semiconductor and integrated circuit industries, focusing on supporting the introduction of major semiconductor and integrated circuit projects in the city as well as the new construction or expansion of local enterprises, thereby enhancing the investment and financing capabilities of the semiconductor and integrated circuit industries.
(11) Support enterprises in broadening financing channels. Establish a financing risk compensation fund for small, medium, and micro enterprises. When eligible newly introduced or capital-expanding semiconductor and integrated circuit enterprises in our city incur loan defaults, the fund will provide compensation of up to 50% of losses incurred by financing guarantee institutions and up to 80% of losses incurred by banking institutions, within the compensation limit.Encourage banking financial institutions to prioritize credit support for semiconductor and integrated circuit enterprises, establish special loans for the semiconductor and integrated circuit sectors, and design financial products tailored to integrated circuit enterprises; support government-backed financing guarantee institutions in providing guarantees for loans to small and medium-sized enterprises in the semiconductor and integrated circuit sectors.
(12) Support for Enterprise Listings and M&A. Recognized pre-IPO enterprises that apply for an initial public offering (IPO) on domestic or overseas stock exchanges, and whose application materials have been formally accepted, shall receive a one-time reward of 3 million yuan. The maximum reward for IPO financing after listing is 6 million yuan.Eligible listed companies that, through mergers and reorganizations, merge with or acquire control of existing, continuously operating enterprises will receive a reward equal to 0.5% of the transaction amount, with a maximum reward of 2 million yuan per transaction. The cumulative reward for a single company shall not exceed 5 million yuan.
IV. Support for the Recruitment and Training of Professional Talent
(13) Intensify efforts to attract high-end talent. Support the introduction of major innovation teams and industry leaders in the semiconductor and integrated circuit sectors. Eligible talent may receive up to 10 million yuan in housing purchase subsidies and 350,000 yuan in living allowances, and may enjoy preferential treatment in areas such as scientific research, entrepreneurship, residence and entry-exit, household registration, housing, medical care, social security, children’s schooling, and taxation. A flexible “one-person-one-policy” approach will be implemented for the recruitment of special and critically needed talent.
(14) Strengthen support for professional talent.For eligible enterprises in key sectors such as semiconductor and integrated circuit materials, design, advanced packaging and testing, equipment, and components, R&D personnel who meet the following criteria will be eligible for rewards based on their annual compensation: they must have an annual taxable salary income reported and withheld in Dongguan exceeding 500,000 yuan and hold positions such as manager, functional supervisor, chief engineer, senior engineer, or other equivalent roles in R&D or engineering departments. The maximum annual reward per person is 1 million yuan.
(15) Strengthen support for skilled talent. For eligible enterprises in semiconductor and integrated circuit manufacturing, packaging and testing, compound semiconductors, equipment, and materials, support will be provided to build a skilled workforce that underpins the high-quality development of the semiconductor and integrated circuit industry. For personnel engaged in front-line operation and maintenance in semiconductor and integrated circuit production who meet the application criteria, enterprises may independently select technical experts and provide a work allowance of up to 10,000 yuan per person per year.
(16) Strengthen the cultivation of technical talent. Encourage semiconductor and integrated circuit enterprises to conduct vocational skill level assessments; upon approval, a single enterprise may receive a subsidy of up to 850,000 yuan. Support universities and research institutes in Dongguan in establishing talent training bases in the semiconductor and integrated circuit sectors in collaboration with relevant enterprises. For talent training base projects that are recognized as meeting the criteria, funding will be provided based on the project’s output and benefits.
V. Other Matters
The Municipal Development and Reform Bureau is responsible for interpreting this policy. Should relevant national, provincial, or municipal policies and regulations be adjusted during the implementation period, this policy will be adjusted accordingly.Where this policy involves new incentive funds, the costs shall be shared by the municipal and town governments in a 50:50 ratio. The scope of application for incentive provisions shall be determined by the application guidelines issued in the current year. In cases where this policy conflicts with other similar policies in Dongguan, the provisions offering the highest benefits, the most favorable terms, and excluding duplicate benefits shall apply. This policy shall take effect from the date of issuance and remain valid for three years.
