Barclays has predicted that China’s semiconductor industry will double its capacity within five to seven years. According to TrendForce, by the end of this year, 32 mature chip production facilities will be active in China, indicating a rapid industry growth.
Presently, there are 44 chip manufacturing establishments in China, as reported by TrendForce. Among these, 25 process 300 mm silicon wafers, 15 specialize in 200 mm wafers, and the remaining four work with 150 mm wafers. Extra 23 factories are currently under construction, with 15 focusing on 300 mm wafers and eight on 200 mm ones.
SMIC, Nexchip, CXMT, and Silan plan to construct 10 facilities by the end of this year, nine of which will process 300 mm silicon wafers, and one dedicated to 200 mm wafers. By the end of 2024, 32 large-scale mature lithography chip production factories will be operational in China. As per TrendForce’s analysis, China’s microchip production capabilities will increase by 60% in three years, and double in five years.
TrendForce forecasts that by 2027, mature processes (greater than 28 nm) will constitute 70% of the global semiconductor industry, leaving about 30% for 16 nm and below processes. China’s share in mature lithography will rise from the current 29% to 33% by 2027. Conversely, Taiwan’s share will decrease from 49% to 42%, the US will dip from 6% to 5%, and South Korea will maintain steady at 4%.
