The Source of Analysis for Development Situation of China IC Card Industry 2016-11-16

The notice with regard to matters related to shut down financial IC card downgraded transactions issued by the people's Bank of China requires, the commercial banks would shut down gradually financial IC card downgraded transactions,to provide a basis forpromoting financial IC card in 2015.


At present, thereare about 3.4 billion magnetic strip cards, thismeans that the financial IC card number is at least up to 4.3 billion after completing "processor swap".Meanwhile, benefited fromthe policy implications, the domestic IC card stocks go up to strong sharply, Tianjin Magnetic card, Tianyu Information etc have varying degrees of increase.IC card had been originally envisioned in the early 60 's, with the development

of VLSI technology/computertechnology/information security

technology, ICcard type is changing more abundant, technology of them is getting more mature, and they has been widely used at home and abroad. At present, the main products include communication IC card

Smartcards, financial IC card, city pass card, mobile multimedia

broadcasting conditional access card, tax control card(plate), social security cards, gas cards, etc.

 

At present,

China is still the themain producing countries of world's IC card and IC card module .

The statistics in ” the analysis report of 2015-2020 China IC card market research and investment predict ” published by Forward industry Research Instituteshows, in 2012 there is 16% increasing in sales volume of IC card compared with the previous year, sales volume reached 2.82 billionsall the year, ushered the highest sales number of yearsin the "Golden card project" implementation of 20 years.


In 2013, issuing volume of China IC card  was 3.45billions. Chart 1:2008-2013 China IC card sales number changes situation (units: billion pieces,%) information source:

IC card products advantages finished by Forward Industry Institute: The difference between IC card and magnetic card lies in the different of data storagemedia, magnetic card through magnetic field changes to store information, IC card through embedded card in the of electric wipe type can programming only read memory IC chip (EEPROM) to storage data information.


Compared with magneticcards,IC cards have the following characteristics: first, large 

storage capacity, the largest storage capacitycan store millions of characters;

the other is safety and security, the card information is very hard to read, modify;the third is long life; the four it has the power of anti-magnetic,

 anti-static, protected against mechanical damage and chemical destruction.


Several advantages above decide IC card instead of the traditional card act as a great role,and is widely used in the financial sector.


Number of policies promoted the universal of financial IC card ,and  ”the views pf the people's Bank of Chinaon promoting the application project of financial IC card ” issued by the Central Bank in 2011,

decided the beginning of officially starting bank card chip migration in thecountry,

and pointed out that will have full financial IC card application during "Twelve-Five Plan" .


The national commercial banks should start to issue financial IC card from Jan,1,2013,

the issuance of Bank IC card is significantly fasterrecently .


Data of the IC card industry report statistics show, national financial IC card have issued 593 millions in 2013, a net increase of 470 millions in this year. Bythe end of the third quarter of 2014, China financial IC card issuing volume have exceeded 1 billions,financial IC cards have become China's new bank card products.

 

3.4 billion magnetic strip card will "processor swap",

financial IC number will up to more than 4 billions.The notice with regard to matters related to shut down financial IC card downgraded transactions issued by the people's Bank of China requires, the commercial banks would shut down gradually financial IC card downgraded transactions,to provide a basis forpromoting financial IC card in 2015.


At present, thereare about 3.4 billion magnetic strip cards, thismeans that the financial IC card number is at least up to 4.3 billion after completing "processor swap".

 

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