Global semiconductor equipment sales hit record US$102.6bil in 2021

PETALING JAYA: Worldwide sales of semiconductor manufacturing equipment in 2021 surged 44% to an all-time record of US$102.6bil billion from US$71.2bil in 2020, according to US-based Semiconductor Equipment Manufacturers Industry (SEMI).

In a statement, SEMI said China claimed the largest market for semiconductor equipment for the second time with sales expanding 58% to US$29.6bil to mark the fourth consecutive year of growth.

South Korea, the second-largest equipment market, registered a sales increase of 55% to US$25bil, after showing strong growth in 2020.

Taiwan logged a 45% growth to US$24.9bil to claim the third position.

Annual semiconductor equipment spending increased 23% in Europe and 17% in North America, which continues to recover from a contraction in 2020.

Sales in the rest of the world jumped 79% in 2021.

“The 44% increase in manufacturing equipment spending in 2021 highlights the global semiconductor industry’s aggressive push to add capacity,” SEMI president and CEO Ajit Manocha said.

“This drive to expand production capabilities extends beyond the current supply imbalance, as the industry continues to ramp up to address a wide range of emerging high-tech applications that will enable a smarter digital world with countless social benefits.”

Global sales of wafer processing equipment rose 44% in 2021, while other front-end segment sales grew 22%.

Assembly and packaging showed exceptional growth across all regions, resulting in an 87% market increase in 2021, while total test equipment sales rose 30%.