BEIJING—In a move that could further heighten tensions with the U.S., China is poised to announce a new fund of about 300 billion yuan—$47.4 billion—to spur development of its semiconductor industry as it seeks to close the technology gap with the U.S. and other rivals, according to people familiar with the matter.
The new war chest by the government-backed China Integrated Circuit Industry Investment Fund Co. follows a similar fund launched in 2014 that raised 139 billion yuan ($21.8 billion), largely funded by central and...