Global chip market’s second quarter up 29% year-on-year
As the SIA reports three-month averaged figures this is a proxy for the second quarter of 2021.
Market growth has been increasing through 2021 as a result of a beneficial comparison with 2020, as the market dipped in the 1H20 in response to the Covid-19 pandemic.
All the regions of the world tracked by World Semiconductor Trade Statistics and reported by SIA achieved annual growth above 20 percent in averaged across, with Europe achieving 43.2 percent year-on-year growth. Only a few months before Europe had been the slowest growing region.
This extreme European growth reflects that it suffered particularly in the 2Q20 with the closure of a number automobile and industrial factories due to societal responses to the Covid-19 pandemic. Other regions also responded but at slightly different times and to greater or lesser degrees so the latest round of figures reflect a dynamic situation but one with underlying strong growth.
Europe’s June averaged chip market was up 43.2 percent up from 31.2 averaged in May and up from 20.1 percent in April. Europe’s 1Q21 chip sales were up 8.7 percent compared with a year before.
The Chinese chip market was up 28.3 percent year-on-year in June with the Asia-Pacific region excluding China at 34 percent.
Three-month average of chip sales by geographic region for June and May 2021. Source: SIA/WSTS.
“Second-quarter semiconductor sales were up significantly compared to Q2 of last year, increasing across all major product categories and in every major regional market,” said John Neuffer, CEO of the SIA, in a statement. “Demand for semiconductors is projected to continue to rise substantially in the long term, as the world continues using chips to become smarter, greener, more productive, and better connected. We urge leaders in Washington to enact funding for the CHIPS for America Act so America can capture a larger share of increased semiconductor production and innovation in the years ahead.”
Monthly data is given by the SIA as a three-month average although the source of the data, World Semiconductor Trade Statisics, tracks actual monthly data. The SIA and other regional semiconductor industry bodies opt to use averaged data because it evens out the actual data that typically shows troughs at the beginnings of quarters and peaks at the ends of quarters.
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