# Analysts project Chinese AI chips to take nearly 90% of domestic sales

_Tuesday, August 18, 2026 at 7:20 AM EDT · AI · Latest · Tier 1 — Major_

![Analysts project Chinese AI chips to take nearly 90% of domestic sales — Primary](https://cdn.mos.cms.futurecdn.net/QdmD9mZjaawpgYTSoKmy6J-1786-80.jpg)

TrendForce projects that high-end AI processors developed by Chinese companies will account for nearly 90% of China's sales in 2026, up from 45% last year and from its December outlook of about 50%. The forecast follows U.S. export restrictions and Chinese encouragement of domestic chips, with Huawei, Cambricon and cloud-company ASICs expected to supply demand. The projection depends on a sharp production increase: replacing the affected foreign supply while retaining a roughly 4 million-unit market would require domestic output to rise substantially.

## Sources

- [Latest from Tom's Hardware](https://www.tomshardware.com/tech-industry/artificial-intelligence/chinas-homegrown-ai-accelerators-to-supply-90-percent-of-the-countrys-domestic-market-analysts-suggest-cambricon-and-huawei-expected-to-be-the-biggest-winners-in-the-shift-away-from-nvidia-and-amd)

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