NEC Electronics Corporation subsidiary NEC IC Design Company has been licensed by the Chinese government to import and sell semiconductor products designed and/or manufactured outside of China as per Decree 8 of the Ministry of Commerce Administrative Measures On the Investment In the Commercial Field by Foreign Investors.

NEC subsequently integrated the development and sales personnel at Shougang NEC Electronics into NEC IC Design, which has become NEC Electronics China. The Shougang (SGNEC) facility is now focused entirely on manufacturing. IC Design president Fumiaki Urase will head the new entity.

NEC Electronics established SGNEC in 1991 but said that opportunities for business had been limited because of restrictions on the import of semiconductor products developed and manufactured outside of China.

"Recently, we have experienced an upswing in demand for our products in line with economic growth in the region," said Junshi Yamaguchi, executive vice president, NEC Electronics. "The acquisition of the import license and the concentration of our design and sales teams in Beijing mark major milestones that will serve as the foundation for our improved ability to service customers in China."