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2019

10/28

Global negative growth, why is Taiwan semiconductor growing against the market?

Preface:

In 2019, the global semiconductor market will have a negative growth, with a decline rate of 13.3%, and the scale of the global semiconductor market will decline to US $406.6 billion. However, the semiconductor industry in Taiwan has achieved the growth against the market. In the current complex international situation, as one of the major semiconductor manufacturing regions, the growth of Taiwan's semiconductor output value undoubtedly has a strong indicator significance.

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Lay the foundation for comprehensive strength

Taiwan's semiconductor industry is developed mainly because of its good industrial foundation, focus on electronic technology industry, scale effect, excellent quality and guaranteed quality.


At present, Japan and South Korea have restricted each other, and the prospect of global semiconductor industry is full of uncertainty. Taiwan's semiconductor industry is likely to be one of the beneficiaries.


Taiwan's semiconductor industry is strong in TSMC, but there is not only one TSMC. For example, in the field of chip foundry, there are as many as four Chinese enterprises in Taiwan that can rank among the top ten in the world. In addition to TSMC, there are also liandian (ranked fourth), Lijing (seventh) and world advanced (eighth).


After decades of development, Taiwan's chip industry has formed a whole industrial chain layout of upstream and downstream, covering silicon wafer, chip design, chip manufacturing, seal testing and many other fields. According to the data in 2017, the total output value of Taiwan's semiconductor industry reached US $81 billion, second only to the United States and South Korea.


On the whole, Taiwan's semiconductor enterprises have very strong competitiveness, with clear vertical division of labor between the upstream and downstream, and like to participate in international competition with group strength.


However, except TSMC, most of them are small and medium-sized enterprises. In the face of such giants as Samsung Electronics and Meguiar, they are often in the downwind.

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① market performance of semiconductor equipment is the first


In the first quarter of this year, global semiconductor equipment shipments amounted to US $13.79 billion, down 8% in the quarter and 19% in the year-on-year period.


However, the purchase volume of semiconductor equipment in Taiwan increased instead of decreasing. In the first quarter of this year, the sales volume reached US $3.81 billion, with a quarterly increase of 36% and a year-on-year increase of 68%. It is the market with the largest growth in the first quarter. The global ranking also increased from the second in the fourth quarter of last year to the largest semiconductor equipment market in the world.


Part of the reason for this situation lies in the impact of the Sino US trade dispute. Part of the industrial orders in mainland China have been transferred to Taiwan, and equipment needs to be purchased to expand production and capacity.


At the same time, some Taiwan semiconductor factories with factories in mainland China have moved their production lines back to Taiwan, which also needs to purchase equipment locally to improve production capacity.

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② IC design industry has the largest growth rate




There are a number of excellent IC design enterprises in Taiwan, and the top ones are: MediaTek, Lianyong, Ruiyu, spectacle, creativity, Ruiding, etc. their revenue performance has been good.




IC design companies in Taiwan, especially start-ups, are very good at grasping the market trend, choosing some high threshold areas, trying to avoid products in the red sea without any innovation, and not blindly following the trend.




Among the three major sectors of semiconductor industry, the growth rate of IC design industry in Taiwan is the largest this year, which will reach 4.6%.




③ wafer foundry becomes the strongest plate




United power is Lianhua electronics, and together with TSMC, it is known as the "two heroes of wafer". Although its technology is not advanced, it has derived many branches, including MediaTek and Lianyong, which are called "lianjiajun". It has cultivated many new semiconductor forces for Taiwan. In 2018, its total revenue reached 4.9 billion US dollars.




Wafer industry is obviously the strongest semiconductor industry in Taiwan. In the third quarter of this year, the world's top ten Fab generation factories ranked in terms of revenue. Two of the top five Fab generation factories were in Taiwan, and the sales of TSMC, the leader of Fab generation industry, exceeded 50% of the global total.




④ nearly half of the world's market is occupied by the sealed test industry




In the field of sealing and testing, Taiwan manufacturers account for nearly 50% of the global market. The industry leader Sunmoon is optimistic about the follow-up growth potential of 5g mobile phone chips, and can continuously achieve the set goal in the optimization of packaging size and cost reduction; in the construction demand of 4G to 5g base station, it is also continuously improving the capacity of SIP packaging technology.




This year, the IC packaging industry in Taiwan has declined by 0.1% annually; the IC testing industry has increased by 1.9% annually. The situation is relatively complicated. The reason for this situation is related to the situation of the first half of the year.