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Analysts from Beijing-based China Jianyin Investment Ltd were more optimistic.

Andy Zhao, president of Nielsen China, the global measurement and data analytics company, said the consumption patterns of Chinese consumers have gradually changed.

Analysts believe the prospects for the clean fuel in China are bright but challenges still remain.

And then there’s another chilling factor that doesn’t get talked about as much: Lawsuits.

Analysts said local investors are displaying growing enthusiasm for chip companies, as the importance of a globally competitive semiconductor industry is highlighted amid the US government's efforts to contain the rise of Chinese technology enterprises.