SEMI: Global Silicon Wafer Shipments to Rebound in 2024

On October 26, 2023, the International Semiconductor Industry Association, SEMI, made an important announcement regarding the global silicon wafer market. This revelation comes against the backdrop of sustained softness in semiconductor demand and the prevailing macroeconomic conditions, which are expected to impact the industry in 2023. Specifically, it is projected that global silicon wafer shipments will experience a significant decline of 14%, plummeting from the record-breaking 14,565 million square inches (MSI) observed in 2022 to a projected 12,512 million square inches.

This deceleration in silicon wafer demand has been influenced by macroeconomic factors dating back to the previous year. Nevertheless, SEMI's forecast anticipates a noteworthy resurgence in 2024. This resurgence is expected to be driven by increasing demand in key sectors, such as artificial intelligence (AI), high-performance computing (HPC), 5G technology, automotive advancements, and industrial applications. By 2024, global silicon wafer shipments are anticipated to experience an impressive rebound of 8.5%, reaching a total of 13.578 billion square inches.

The positive momentum is predicted to extend beyond 2024, with a sustained growth trajectory forecasted until 2026. During this period, it is projected that shipments will surpass 16.2 billion square inches, indicating a promising future for the semiconductor industry. This development holds significant implications for a wide range of industries and stakeholders involved in the global semiconductor supply chain.