Annual sales of semiconductor equipment manufacturers worldwide fell 7 percent from a record high of US$64.5 billion to US$59.8 billion last year, but Taiwan bucked the downtrend by posting growth of 68 percent, SEMI said in a statement yesterday.
Taiwan last year became the largest market for new semiconductor equipment, with sales soaring to US$17.12 billion, dislodging South Korea from the top spot, SEMI said.
Hsinchu-based Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) was a major contributor, spending US$14.9 billion on new equipment last year, the trade group said.
Photo: Tyrone Siu, Reuters
TSMC, which supplies chips for Apple Inc’s iPhones, plans to raise its capital expenditure to as much as US$16 billion this year, primarily for 3-nanometer, 5-nanometer and 7-nanometer technologies.
China maintained its position as the second-largest semiconductor equipment market, with sales rising 3 percent annually to US$13.45 billion, followed by South Korea at US$9.97 billion, after receipts declined 44 percent annually, SEMI statistics showed.
Equipment sales in North America last year jumped 40 percent to US$8.15 billion, the third consecutive annual increase, while new equipment markets in Japan and Europe contracted from a year earlier, SEMI said.
Global assembly and packaging, and test equipment sales also faltered, declining 27 percent and 11 percent respectively, it said.
Sales to China rose across all major equipment segments, except for assembly and packaging, it added.
ASML Holding NV, a crucial equipment supplier to Samsung Electronics Co and TSMC, yesterday refrained from providing guidance for the second quarter due to the COVID-19 pandemic, but hinted toward a significantly more profitable quarter.
The Dutch company, which produces extreme ultraviolet-lithography equipment, said that it has seen a strong order intake and no change in demand.
However, the company said that it expects significant uncertainty about how the pandemic would affect global economic growth, end markets, its manufacturing capability and its supply chain.
Additional reporting by Bloomberg
UNPRECEDENTED PACE: Micron Technology has announced plans to expand manufacturing capabilities with the acquisition of a new chip plant in Miaoli Micron Technology Inc unveiled a newly acquired chip plant in Miaoli County yesterday, as the company expands capacity to meet growing demand for advanced DRAM chips, including high-bandwidth memory chips amid the artificial intelligence boom. The plant in Miaoli County’s Tongluo Township (銅鑼), which Micron acquired from Powerchip Semiconductor Manufacturing Corp (力積電) for US$1.8 billion, is expected to make a sizeable capacity contribution to the company from fiscal 2028, the company said in a statement. It would be an extended production site of Micron’s large-scale manufacturing hub in Taichung, the company said. As the global semiconductor industry is racing to reach US$1 trillion
Singapore-based ride-hailing and delivery giant Grab Holdings Ltd has applied for regulatory approval to acquire the Taiwan operations of Germany-based Delivery Hero SE's Foodpanda in a deal valued at about US$600 million. Grab submitted the filing to the Fair Trade Commission on Friday last week, with the transaction subject to regulatory review and approval, the company said in a statement yesterday. Its independent governance structure would help foster a healthy and competitive market in Taiwan if the deal is approved, Grab said. Grab, which is listed on the NASDAQ, said in the filing that US-based Uber Technologies Inc holds about 13 percent of
ABOVE LEGAL REQUIREMENT: The Ministry of Economic Affairs is prepared if LNG supply is disrupted, with more than the legal requirement of 11 days of inventory Taiwan has largely secured liquefied natural gas (LNG) supplies through May and arranged about half of June’s supply, Minister of Economic Affairs Kung Ming-hsin (龔明鑫) said yesterday. Since the Middle East conflict began on Feb. 28, Taiwan’s LNG inventories have remained more than 12 days, exceeding the legal requirement of 11 days, indicating no major supply concerns for domestic gas and electricity, Kung said at a meeting of the legislature’s Economics Committee in Taipei. The ministry aims to increase the figure to 14 days by the end of next year, he said. While one or two LNG or crude oil shipments for May
Taiwan’s food delivery market could undergo a major shift if Singapore-based Grab Holdings Ltd completes its planned acquisition of Delivery Hero SE’s Foodpanda business in Taiwan, industry experts said. Grab on Monday last week announced it would acquire Foodpanda’s Taiwan operations for US$600 million. The deal is expected to be finalized in the second half of this year, with Grab aiming to complete user migration to its platform by the first half of next year. A duopoly between Uber Eats and Foodpanda dominates Taiwan’s delivery market, a structure that has remained intact since the Fair Trade Commission (FTC) blocked Uber Technologies Inc’s