MOEA expects record-breaking IC output for 4th consecutive year

2017/01/10

The production value of Taiwan’s integrated circuit sector is projected to surpass NT$1.2 trillion (US$37.4 billion) in 2016 to reach a record high for the fourth straight year, the Ministry of Economic Affairs revealed Jan. 5.
 
 The gains come on the back of increasing global demand for electronics, especially mobile devices, as well as emerging applications in automation, automotive parts and the Internet of Things.
 
 According to the latest MOEA statistics, dedicated semiconductor wafer foundries are the key growth driver for Taiwan’s IC sector, contributing more than 80 percent of its overall output. Approximately 80 percent of locally made semiconductors are sold overseas, mainly to mainland China, Hong Kong, Singapore, Japan and South Korea, in that order.
 
 The annual output of the local IC industry has expanded significantly in recent years with a growth rate of 16.2 percent in 2013, 23.9 percent in 2014 and 6.2 percent in 2015, the MOEA said. The ministry added that the nation’s IC foundries have intensified their research and development as well as investment activities in order to maintain their leading positions and enhance their competitive advantages.
 
 According to U.S.-based information technology research and advisory firm Gartner Inc., the worldwide semiconductor foundry market grew 4.4 percent in 2015, generating US$48.8 billion in revenue. Among the top players, TSMC remained the global leader, with Hsinchu City-based UMC, Powerchip Technology Corp. and Vanguard International Semiconductor Corp. in third, sixth, and ninth place, respectively.
 
 President Tsai Ing-wen said to support the continued development of the island’s semiconductor industry, the government has prioritized the stable supply of water, electricity and land resources. She made the remarks Dec. 12 last year at an event marking U.S.-based DRAM giant Micron Technology Inc.’s investment and expansion in Taiwan. “Right now is the best time to invest in Taiwan’s semiconductor industry,” the president said, citing its provision of complete supply chain solutions after 40 years of development.

Source: Taiwan Today (http://taiwantoday.tw/news.php?unit=6&post=106920)