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Taiwan forecast to remain No. 2 in semiconductor capacity in 2024: SEMI

01/06/2024 04:42 PMListen

Taipei, Jan. 6 (CNA) Taiwan is forecast to retain the second largest semiconductor capacity in the world in 2024, with production capacity set to increase more than 4 percent from a year earlier, according to the global semiconductor trade association SEMI.

In a statement released earlier this week, Terry Tsao (曹世綸), global chief marketing officer and Taiwan president of SEMI, said as the global semiconductor industry is expected to enjoy a recovery in demand in 2024, after a slump in 2023, many countries are coming up with incentives to encourage production expansion by building new wafer foundry plants and introducing new equipment.

In the latest World Fab Forecast, SEMI, which represents companies in the electronics manufacturing and design supply chain, said Global semiconductor capacity is expected to rise 6.4 percent in 2024 and surpass the 30 million wafers per month (wpm) mark to a new high after rising 5.5 percent to 29.6 wpm in 2023.

In 2024, a total of 42 new semiconductor fabs will start mass production, compared with 11 in 2023, SEMI said.

"Resurgent market demand and increased government incentives worldwide are powering an upsurge in fab investments in key chipmaking regions and the projected 6.4 percent rise in global capacity for 2024," according to SEMI President and CEO Ajit Manocha.

"The heightened global attention on the strategic importance of semiconductor manufacturing to national and economic security is a key catalyst of these trend," Manocha added.

In Taiwan, the forecast showed, the country is expected to hit 5.70 million wpm in 2024, up 4.2 percent from a year earlier after an anticipated year-on-year increase of 5.6 percent in 2023, which pushed it to 5.40 million wpm.

China is expected to raise its wpm to 8.60 million units in 2024, up 13 percent from a year earlier, to take the top spot in the world on the back of government funding and other incentives, the forecast showed.

Chinese semiconductor suppliers are projected to add 18 wafer fabs in 2024, SEMI said.

South Korea is expected to see its wpm level rise 5.4 percent from a year earlier to 5.10 million units in 2024, the third largest capacity in the world, SEMI said.

Japan is expected to boost its wpm level by about 2 percent from a year earlier to 4.70 million units in 2024, taking the No. 4 spot in the world, SEMI added.

Elsewhere, semiconductor capacity in the Americas is expected to grow 6 percent from a year earlier to 3.10 million wpm with capacity in Europe and the Middle East set to rise 3.6 percent to 2.70 million wpm and capacity in Southeast Asia forecast to rise 4 percent to 1.70 million wpm, SEMI said.

The pure wafer foundry segment is expected to rank as the largest buyer of production equipment for its expansion, with capacity likely to hit 10.20 million wpm in 2024, up from the anticipated 9.3 million in 2023, according to SEMI.

As for the memory chip segment, SEMI said, DRAM suppliers are expected to raise capacity by 2 percent to 3.8 million wpm in 2023 and an additional 5 percent to 4 million wpm in 2024.

(By Chang Chien-chung and Frances Huang)


Source, https://focustaiwan.tw/business/202401060009  

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