The semiconductor manufacturing market has been somewhat of a rollercoaster in recent years due to a number of technological changes and shifts in consumption around the globe. Traditionally, Japan has been the largest consumer of manufacturing materials due to its fab base and packaging presence. In the past four years, however, Japanese manufacturers have adopted fab-lite strategies at rapid rates, and have chosen to consolidate a significant amount of fabs and packaging plants.
While these changes were occurring in Japan, Taiwanese companies began investing in advanced packaging and foundry operations. For this reason, during the 2009 downturn, the semiconductor manufacturing materials market decreased 22 percent in Japan while decreasing only 12 percent in Taiwan. Following the downturn, all regional semiconductor manufacturing materials markets experienced great growth, which led to Taiwan taking over Japan as the largest consumer of semiconductor materials in terms of revenue.
Taiwan currently continues to lead the world in terms of semiconductor manufacturing materials consumption, with Japan in second place and SE Asia in third. By next year, it is expected that Taiwan will continue to hold and even strengthen its market share. While Taiwan will maintain its place, Japan and SE Asia are expected to swap places due to SE Asia’s continued growth in the packaging industry. Although Japan has fallen as the leader, it is important to note that the country still holds a significant portion of the semiconductor materials market due to its long manufacturing history.
While the semiconductor manufacturing industry experienced a somewhat weak overall performance during the earlier parts of 2013, it is expected to make a quick turnaround heading into the next year. The semiconductor industry will grow simultaneously with the device market, leading to a predicted seven percent increase in 2014 to create a market valued at close to $50 billion.
At Shin-Etsu MicroSi, one of the largest contributors to the semiconductor manufacturing market, we offer our customers world class leadership in the development and manufacture of materials, such as synthetic quartz wafers and thermal greases. Our customer service oriented company provides you with the highest quality, technologically advanced materials to maintain and improve semiconductor manufacturing operations. To learn more, call Shin-Etsu MicroSi at (480) 893-8898 or contact us online.