Releasing its Mid-Year Forecast at the annual SEMICON West exposition, SEMI, the global industry association representing the electronics manufacturing supply chain, today reported that worldwide sales of new semiconductor manufacturing equipment are projected to increase 10.8 percent to $62.7 billion in 2018, exceeding the historic high of $56.6 billion set last year. Another record-breaking year for the equipment market is expected in 2019, with 7.7 percent forecast growth to $67.6 billion.
The SEMI Mid-Year Forecast predicts wafer processing equipment will rise 11.7 percent in 2018 to $50.8 billion. The other front-end segment, consisting of fab facilities equipment, wafer manufacturing, and mask/reticle equipment, is expected to jump 12.3 percent to $2.8 billion this year. The assembly and packaging equipment segment is projected to grow 8.0 percent to $4.2 billion in 2018, while semiconductor test equipment is forecast to increase 3.5 percent to $4.9 billion this year.
In 2018, South Korea will remain the largest equipment market for the second year in a row. China will rise in the rankings to claim the second spot for the first time, dislodging Taiwan, which will fall to the third position. All regions tracked except Taiwan will experience growth. China will lead in growth with 43.5 percent, followed by Rest of World (primarily Southeast Asia) at 19.3 percent, Japan at 32.1 percent, Europe at 11.6 percent, North America at 3.8 percent and South Korea at 0.1 percent.
SEMI forecasts that, in 2019, equipment sales in China will surge 46.6 percent to $17.3 billion. In 2019, China, South Korea, and Taiwan are forecast to remain the top three markets, with China rising to the top. South Korea is forecast to become the second largest market at $16.3 billion, while Taiwan is expected to reach $12.3 billion in equipment sales.
The following results are in terms of market size in billions of U.S. dollars:
The Equipment Market Data Subscription (EMDS) from SEMI provides comprehensive market data for the global semiconductor equipment market. A subscription includes three reports: the monthly SEMI Billings Report, which offers an early perspective of the trends in the equipment market; the monthly Worldwide Semiconductor Equipment Market Statistics (SEMS), a detailed report of semiconductor equipment bookings and billings for seven regions and over 22 market segments; and the SEMI Mid-year Forecast, which provides an outlook for the semiconductor equipment market.
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