According to the latest statistics from the China Semiconductor Industry Association, China’s IC industry maintained rapid growth in the first quarter of 2018. Sales from January to March in 2018 were 115.29 billion yuan, a year-on-year increase of 20.8%. The industry grew by 22% year-on-year, with sales of 39.45 billion yuan. The manufacturing sector increased by 26.2% year-on-year, with sales of 35.59 billion yuan. The packaging and testing industry achieved sales of 40.25 billion yuan, a year-on-year increase of 19.6%.
According to the development goals clearly stated in the “Outline for Promoting the Development of the National IC Industry”, China’s IC industry increased by 21.0% and 22.0% respectively in 2017 and 2018, and the industrial scale reached 525 billion yuan and 640 billion yuan respectively. By 2020, it will be comprehensive. To achieve the national 13th Five-Year Plan for integrated circuit development, the industrial sales volume reached 930 billion yuan.
It is understood that the total size of the domestic integrated circuit industry reached 541.13 billion yuan in 2017, an increase of 24.8% year-on-year. Among them, the integrated circuit design industry grew by 26.1% year-on-year, reaching a scale of 207.35 billion yuan; the integrated circuit manufacturing industry grew 28.5% year-on-year, reaching a scale of 1448.1 Billion; IC packaging and testing industry increased by 20.8% year-on-year, with a scale of 188.97 billion yuan.
It can be seen that the development of China's integrated circuit industry in 2017 has achieved the development goals set forth in the “Outline.” According to the current development trend of the industry, the 2018 development goal will not be difficult to achieve.
IC design industry
According to the forecast of DIGITIMES, the revenue (output value) of the IC design industry in Mainland China is expected to reach around 37.5 billion U.S. dollars (about 240.817 billion yuan), a year-on-year increase of 26.20%.
In 2018, the main driving force for the growth of IC design industry in Mainland China: 1. In 2017, the sales revenue of integrated circuit design industry in mainland China was RMB 207.35 billion, which was a 26.1% year-on-year increase. The company has a basis for rapid development. More than 1,380 companies, including: Hass, ZhanRui has entered the world's top ten companies: Another ZTE, Huada Semiconductor, Nanruizhixin, Core Semiconductor (Beijing Sicheng), Datang Semiconductor, Beijing Zhaoyi Nine companies, such as Innovation, Technology, and Ruixin Micro entered the top 50 global IC design companies at the same time. In the Chinese mainland market, there are 191 companies with integrated circuit design companies whose sales exceed 100 million yuan, accounting for the total number of enterprises. 13.8%, overall strength has improved. 2. Driven by smart phones and other communication applications, China's IC design industry is driven by the domestic demand market. After a 9.0% growth in 2017, it is expected to grow by 6.5 in 2018. %. 3, In 2017, the number of smartphone shipments in Mainland China was about 676 million units, which is likely to decline in 2018. However, with the support of domestic domestic operators, growth is expected to be achieved. 4. Except for communication applications, including Internet of Things (IoT) ), Artificial Intelligence (AI), fingerprint identification and the expansion of the consumer market will bring new development opportunities and dividends to China's IC design industry.
IC packaging and testing industry
According to the forecast of DIGITIMES, the output value of integrated circuits for ICs in Mainland China is expected to exceed US$30 billion by 2018, reaching US$33.3 billion (approximately RMB213.286 billion), an increase of 19.20% over the same period of last year.
In 2018, the main reason for the growth of the integrated circuit packaging and testing industry in mainland China was due to the rapid growth of the domestic semiconductor market, and the expansion of production capacity based on the local packaging and testing plants. The high-tech spillover effect achieved through mergers and acquisitions was fermented. The leading local companies (Changji Electronics, Tongfu Microelectronics, Tianshui Huatian) accounted for more than 20% (25%) of the total value of revenue for the first time, and the industry concentration increased. In 2017, Changjiang Electronics ranked third in the world, Tianshui Huatian ranks sixth, Tongfu Wei potential ranks seventh, and in 2018 it will rise to a higher level.
IC Manufacturing
In addition, the IC manufacturing industry will also grow rapidly. The investment hotspots in 2018-2019 will continue to be dominated by wafer foundry and memory; major investment projects, including SMIC, Ziguang Group, Huali Microelectronics, Wuhan Mainland Chinese companies such as storage technology, as well as semiconductor makers such as Intel, Samsung, TSMC, SK hynix, UMC, Powerchip and Globalfinity announced their respective investment plans in mainland China. By 2020, China’s chip manufacturing industry Expect to exceed the packaging test industry.
In terms of wafer process progress, SMIC's 28nm process has entered into OEM production in 2017. In the first half of 2018, SMIC has made new breakthroughs in 28nm technology and yield, expanding its customer base; 2018 1H8 inch OEM prices will increase Hua Hong’s performance by 13.5%, while Shanghai Huali Microelectronics will become the second domestic 28nm process foundry in 2018; SMIC's 16/14nm process will enter volume production in 2019 .