Semiconductor Fabrication Material Market size is forecast to reach $80 billion by 2025, after growing at a CAGR of 5.8% during 2020-2025. Semiconductor fabrication materials can be defined as materials used to pattern the wafer of the semiconductor. The semiconductor fabrication process is used for the creation of integrated circuits on the semiconductor. Electric current is transferred through these integrated circuits. On the other hand, materials used to protect and/or connect the die are called packing materials. Although, the full impact of COVID-19 is still unknown, the impact across the electronics value chain, from materials to final products, will likely be far reaching. COVID-19 is highlighting the potential risks and vulnerability of today’s electronic devices and semiconductor value chain and challenging the semiconductor industry to consider transforming its global supply chain model.
By Fabrication Material – Segment Analysis
As far as the material is concerned, the global market for manufacturing material for semiconductors can be divided into silicon wafers, photomasks, photoresists, photoresist ancillaries, wet chemicals, gases, sputter goals, CMP slurry & pads, and others which include new materials. Of these, the most widely used materials for the manufacture of semiconductors are the silicon wafers. Selection of the manufacturing material for semiconductors depends on several factors such as intent, usage and end-user industry where the semiconductor is needed.
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By Packaging Material – Segment Analysis
As regards packaging material, the global demand for manufacturing material for semiconductors can be segmented into leadframes, substrates, bonding wire, die add, mold compounds, encapsulants, ceramic packages and other packaging materials. Similar to production products, the packaging material is often chosen based on many factors such as the semiconductor use and end-user industry.
By End-User Industry – Segment Analysis
In 2019, semiconductors are used mainly in the consumer electronic industries. Such instruments are used in a large variety of industries, however. Consequently, the global demand for producing content for semiconductors can be divided into computers, electronics, consumer goods, defense & aerospace, and others. The computer and communications industries account for a large share of the semiconductor market. Increasingly, semiconductors are used in different consumer products. Another strategically relevant market for semiconductors is the defense & aerospace industry. The other section includes automobile, medical, office automation and machinery industry.
Geography – Segment Analysis
The global semiconductor fabrication materials market can be segmented into North America, Latin America, Europe, Asia Pacific and Middle East & Africa based on area. In terms of demand, Asia Pacific constitutes a significant share of the market for semiconductor manufacturing materials. It also has a large number of factories that produce semiconductors. Developed regions such as North America and Europe also play an important role in terms of research & development.
Drivers – Semiconductor Fabrication Material Market
Growing implementation of AI on semiconductor leads to increase the demand of semiconductor in automated industries.
The rapid technological innovation, the semiconductor industry can look forward to growth. Semiconductor sales totaled US$481bn in 2018.
Demand for chips related to the rapidly growing use of AI will contribute significantly to the industry’s overall growth. The growing implementation of artificial intelligence on semiconductor in order to increase the advancement of equipment on automated industries leads to increase the production of semiconductor which have become an important factor to increase the growth of semiconductor fabrication material market.
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Challenges – Semiconductor Fabrication Material Market
COVID-19 outbreak has created a huge impact on electronics and automation, which have constrained the growth of the market.
Owning to the rise of COVID-19 outbreak, various industries have shut down its production and due to this, electronic and automation industry seems to be downward. The rise in semiconductor production have relatively reduced which was not expected on the forecasted years. And thus, due to this reason, the dynamic graph on electronics market have created a huge degrowth on semiconductors which overall constrained the growth of the market.
Technology launches, acquisitions and R&D activities are key strategies adopted by players in the Semiconductor Fabrication Material market. Semiconductor Fabrication Material Market top 10 companies are Air Liquide SA, Avantor Performance Materials Inc., BASF SE, Cabot Microelectronics Corp., The Dow Chemical Company, Hemlock Semiconductor Corporation, E. I. du Pont de Nemours and Company, Henkel AG & Co. KGaA, Hitachi High-Technologies Corporation, Honeywell International Inc., JSR Corporation, and Tokyo Ohka Kogyo America, Inc., among others.
Technical advancements, and product innovation of electronic materials, is primarily boosting the growth of the market.
Although other conductors are used in more limited applications, silicon is widely common due to factors such as high room temperature stability, as well as lower temperatures and faster transmission of electrical currents across silicon semiconductors compared to any other semiconductor.
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