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May 2006

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China to consume one-third of word's semiconductors by 2010

China consumed about 20% of total global semiconductor products in 2004; by 2010, it will consume one-third, making it the world’s largest semiconductor consumer, reports In-Stat (http://www.in-stat.com).

“China’s domestic semiconductor demand will increase at a Compound Annual Growth Rate (CAGR) of 21% from 2005–2009”, says Anty Zheng, In-Stat analyst.

Recent research by In-Stat found the following:
  • Computers are still the largest semiconductor application area, with a share of 39.5% of China’s IC market.
  • The supporting industry, especially for equipment, is a weak link in China’s semiconductor industry—almost all manufacturing equipment is imported.

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