The global semiconductor fabrication materials market is projected to reach US$33.3 billion by 2018, driven by steady increase in IC fabrication activity in response to growing demand for electronic devices. Demand for semiconductor fabrication material is largely tied to the health of the semiconductor industry, which in turn is largely influenced by the demand for electronics. Demand patterns in major downstream markets such as computers, communications equipment, digital home appliances, and industrial electronics influences IC fabrication activity.
Growing demand for electronic chip fabrication as a result of increasing production of mobile computing devices such as notebooks, smartphones and tablet PCs, is therefore benefiting growth in the semiconductor fabrication materials market. While consumer electronics and appliances remain the primary driver of growth, emerging applications in automotive electronics, medical device electronics, defense and aerospace electronics, including state-of-the-art weaponry, are poised to fuel future growth in the market.
Increasing performance requirements of electronic devices is creating the need for smaller and more robust semiconductor devices, which in turn is driving demand for newer fabrication materials. Increasing integration of highly advanced ICs in mobile devices, particularly smartphones and tablet PCs, in order to obtain longer battery life, brilliant screen resolution, and improved cameras, is also triggering growth of advanced semiconductor fabrication materials. To meet end-user requirements, material and chemical manufacturers are focusing on investing in R&D, and capacity expansions particularly in high growth regions. Developments in microelectronics fabrication are additionally helping drive demand for fabrication materials.
Though investments in new fab construction projects were sluggish in 2012, the same is expected to pick up momentum from 2013 onwards with new planned projects high on all company agendas. This expected increase in fab capacity will provide market opportunities for semiconductor fabrication materials in the coming years. The shift towards miniaturization is also driving growth in the market by requiring specialization of back-end fabrication. In the coming years, the persistent financial challenges and the pressure on capital will continue to mark the distinct evolution of pure-play foundries and fabless suppliers. The fabless model of microchip production will continue to gain prominence, given its unrivalled cost benefits. This growing trend of outsourcing fabrication of semiconductor chips is therefore expected to result in the establishment of new fabrication plants thus driving market prospects for semiconductor fabrication material in countries such as Japan, China, Taiwan, and South Korea
As stated by the new market research report on Semiconductor Fabrication Material, Japan represents the largest regional market worldwide, while Taiwan ranks as the fastest growing market with a CAGR of 5.3% over the analysis period. Strong semiconductor foundry base is helping drive growth in the country. Silicon Wafers represents the largest product market accounting for a major share in total global revenues. CMP Materials is the fastest growing product market with annual revenue waxing at a CAGR of about 6.9% over the analysis period.
Key players covered in the report include Air Products and Chemicals Inc., Air Liquide SA, Alent Plc, Avantor™ Performance Materials, AZ Electronic Materials SA, BASF SE, Cabot Microelectronics Corp., Dow Chemical Company, Hemlock Semiconductor Corporation, Hitachi Chemical Company Limited, JSR Corporation, Kanto Chemical Co. Inc., KMG Chemicals Inc., Linde AG, Mitsui Chemicals Inc., Mitsubishi Gas Chemical Company, OM Group Inc., Praxair, Inc., Sachem Inc., Silecs Oy, Shin-Etsu Chemical Co. Ltd., Showa Denko KK, SUMCO Corporation, Sumitomo Chemical Company Limited, Taiyo Nippon Sanso, Tokyo Ohka Kogyo Co. Ltd., Wacker Chemie AG, and Wako Pure Chemicals Industries, Ltd., among others.
The research report titled Semiconductor Fabrication Materials – Global Strategic Business Report, provides a comprehensive review of market trends, mergers, acquisitions and other strategic industry activities. The report provides market estimates and projections for in US dollars for major geographic markets including the US, Japan, Europe, China, South Korea, Taiwan, and Rest of World. Key segments analyzed in the report include Silicon Wafers, Photoresists & Adjuncts, Electronic Gases, CMP Materials, Others.