Global fab equipment spending to hit almost US$100bil in 2022

PETALING JAYA: Global semiconductor equipment investments for front end fabs in 2022 are expected to reach nearly US$100bil to meet soaring demand for electronics after topping a projected US$90bil this year, both new records, SEMI said in its World Fab Forecast report.

SEMI said the new fab equipment spending records would mark a rare three consecutive years of growth that began in 2020, bucking the historical cyclical trend of a one- or two-year expansion followed by a year or two of tepid growth or declines.

The semiconductor industry last saw more than two consecutive years of growth in the mid-1990s.

“The foundry sector will account for the bulk of fab equipment investments in 2022, with more than US$44bil in spending, followed by the memory sector at over US$38bil.

“Both DRAM and NAND also show large increases in 2022 with jumps in spending to US$17bil and US$21bil, respectively,” SEMI said.

It added that micro/MPU investments will reach approximately US$9bil, discrete/power US$3bil, analog US$2bil, and other devices about US$2bil next year.

SEMI noted that regionally in 2022, Korea will lead in fab equipment spending at US$30bil. It will be followed by Taiwan at US$26bil, and China at nearly US$17bil.

Japan will take the fourth spot with almost US$9bil in fab equipment spending.

“While Europe/Mideast will be in fifth place at US$8 billion, the region is expected to post a standout year-over-year percentage growth of 74% in 2022.

“In the Americas and Southeast Asia, spending is projected to reach more than US$6bil and US$2bil, respectively,” it added.

The World Fab Forecast report lists 1,417 facilities and lines globally, including 129 facilities and lines starting volume production in 2021 and beyond.

Article type: metered
User Type: anonymous web
User Status:
Campaign ID: 1
Cxense type: free
User access status: 0
Subscribe now to our Premium Plan for an ad-free and unlimited reading experience!

SEMI , semiconductor , fabs , foundry


Next In Business News

ECB raises rates again and pencils in at least one more hike
Fed up, BoE up, stocks up, ECB up next
ALR seeks extension on warranty claim period from highway concessionaires
Ringgit ends higher vs greenback amid low fed rate hike
Lambo triggers new admission into GN3
BLand names Chester Voo as CEO, group aviation
Grab appoints Adelene Foo as MD for Malaysia
IHH Healthcare acquires Turkey-based Kent Health Group
Xiaomi demands payout from supplier after car designs leaked
Engtex to venture into clean energy solution

Others Also Read