By Kate Yuan
China’s mainland will increase its global share of 300mm fab capacity from 19% in 2021 to 23% in 2025, taking up almost a quarter, driven by rising government investment in the domestic chip industry, SEMI said in its latest report.
China's 300mm wafer fab production capacity is approaching the world leader South Korea, and is expected to surpass Taiwan region next year.
SEMI predicted Taiwan region's global capacity share to decline by 1% (to 21%) From 2021 to 2025, while South Korea's share is also expected to drop slightly by 1% (to 24%) over the same period.
Japan's share of global 300mm fab capacity will decrease from 15% in 2021 to 12% in 2025 as competition with other regions intensifies.
Global semiconductor manufacturers are expected to expand 300mm fab capacity at a compound average growth rate (CAGR) of nearly 10% from 2022 to 2025, reaching 9.2 million wafers per month, an all-time high.
"While shortages for some chips have eased, supplies of others remain tight. The semiconductor industry is expanding 300mm fab capacity to meet long-term demand for a wide range of emerging applications," said SEMI president Ajit Manocha. Strong demand for automotive semiconductors in multiple regions and new government funding and incentive programs are driving much of the growth.
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