China's domestic semiconductor equipment localization is projected to increase to 35% by 2025, up from 25%. Key equipment such as etching and thin-film deposition are expected to exceed a 40% substitution rate. Specific advancements include AMEC's 5nm etcher entering verification at TSMC, NAURA Technology's furnaces gaining over 60% market share at SMIC's 28nm lines, and Piotech's PECVD equipment reaching 200 units installed at YMTC's 3D NAND lines, increasing its market share there to 30%.