Industry News

China-Based IC Production to Represent 21.2% of China IC Market in 2026

Update time : 2022-05-23 10:31:05

Foreign companies (e.g., Samsung, SK Hynix, TSMC, etc.) are expected continue to comprise more than 50% of IC production in China through 2026.

A very clear distinction should be made between China’s IC market and China’s indigenous IC production. IC Insights has stated that although China has been the largest consuming country for ICs since 2005, it does not necessarily mean that large increases in IC production within China would immediately follow.
As shown in Figure 1, IC production in China represented 16.7% of its $186.5 billion IC market in 2021, up from 12.7% 10 years earlier in 2011. Moreover, IC Insights forecasts that this share will increase by 4.5 percentage points from 2021 to 21.2% in 2026 (a 0.9 percentage point per-year gain on average).
Of the $31.2 billion worth of ICs manufactured in China last year, China-headquartered companies produced $12.3 billion (39.4%), accounting for only 6.6% of the country’s $186.5 billion IC market. TSMC, SK Hynix, Samsung, Intel, UMC, and other foreign companies that have IC wafer fabs located in China produced the rest. IC Insights estimates that of the $12.3 billion in ICs manufactured by China-based companies, about $2.7 billion was from IDMs and $9.6 billion was from pure-play foundries like SMIC.
If China-based IC manufacturing rises to $58.2 billion in 2026 as IC Insights forecasts, China-based IC production would still represent only 8.1% of the total forecasted 2026 worldwide IC market of $717.7 billion. Even after adding a significant markup to some of the Chinese producers’ IC sales (many Chinese IC producers are foundries that sell their ICs to companies that re-sell these products to the electronic system producers), China-based IC production would still likely represent only about 10% of the global IC market in 2026.

Previous : Foxconn Announced to Build a Chip Factory in Malaysia, with a Monthly Output of 40000 Wafers

Next : Mediatek：Supply of chipsets to improve by year-end

How many chips does a car need?

Sep .19.2024

Automotive chips can be divided into four types according to their functions: control (MCU and AI chips), power, sensors, and others (such as memory). The market is monopolized by international giants. The automotive chips people often talk about refer to

Position and Function of Main Automotive Sensors

Sep .18.2024

The function of the air flow sensor is to convert the amount of air inhaled into the engine into an electrical signal and provide it to the electronic control unit (ECU). It is the main basis for determining the basic fuel injection volume. Vane type: The

Chip: The increasingly intelligent electronic brain

Sep .14.2024

In this era of rapid technological development, we often marvel at how mobile phones can run various application software smoothly, how online classes can be free of lag and achieve zero latency, and how the functions of electronic devices are becoming mo

LDA100 Optocoupler: Outstanding Performance, Wide Applications

Sep .13.2024

In terms of characteristics, LDA100 is outstanding. It offers AC and DC input versions for optional selection, enabling it to work stably in different power supply environments. The small 6-pin DIP package not only saves space but also facilitates install

About Us

About Us What we do Quality People

Products

CHIP/IC Active devices Passive device Components OTHER

China electronic components supplier----Wah Luen Shing Electronic.----www.wlschip.com

Leave a message