SMIC has been around for years. The problem is they are typically two process nodes behind because of import restrictions on machine tools (i.e. photolithography equipment).
Huali is just another fab much like SMIC. It does not manufacture photolithography machine tools.
This means if you want to manufacture a more advanced design you have to use TSMC in Taiwan or fabs in the USA, or Europe. TSMC is the world leader right now. Samsung, Globalfoundries are the other main fab groups which allow manufacture by 3rd parties. There are others but they typically lag much behind and are little better or worse than SMIC.
This is not that important for the military market which typically runs behind and uses established tech. But it is important for the consumer market in things like smartphones.
Huali is just another fab much like SMIC. It does not manufacture photolithography machine tools.
This means if you want to manufacture a more advanced design you have to use TSMC in Taiwan or fabs in the USA, or Europe. TSMC is the world leader right now. Samsung, Globalfoundries are the other main fab groups which allow manufacture by 3rd parties. There are others but they typically lag much behind and are little better or worse than SMIC.
This is not that important for the military market which typically runs behind and uses established tech. But it is important for the consumer market in things like smartphones.