SEMI expects global fab equipment spending to reach $109 billion in 2022
Recently, SEMI, an industry association comprising companies involved in the electronics design and manufacturing supply chain says that global fab equipment spending for front-end facilities is expected to grow 20% year over year to an all-time high of $109 billion, the third consecutive year of growth after a 43% increase in 2021 while forecasting strong momentum into 2023.
“The global semiconductor equipment industry remains on track to cross the $100 billion threshold for the first time as shown in our latest update of the World Fab Forecast,” said Ajit Manocha, president, and CEO of SEMI. “This historic milestone puts an exclamation point on the current run of unprecedented industry growth.”
From the perspective of various countries and regions, Taiwan will lead the semiconductor equipment market, with a year-on-year increase of 52% to $34 billion. It was followed by South Korea, which increased by 7% year-on-year to US$25.5 billion. Next is mainland China, down 14% year-on-year, slipping from the top to the third with an amount of $17 billion. Semiconductor equipment spending in Europe and the Middle East is expected to reach $9.3 billion this year, a 176% year-over-year increase compared to other regions.
SEMI said that global semiconductor production capacity will grow by 7% in 2021, with an expected growth rate of 8% in 2022 and 6% in 2023. The last time production capacity saw an 8% annual growth rate was in 2010 when the monthly production capacity was 16 million wafers, and the monthly production capacity is expected to be close to 2900 wafers in 2023.
