How many Semiconductor Fabs are there in China?

By the end of 2024, China aims to establish 32 large fabs, all of which will prioritize mature processes. This strategic choice reflects a desire to quickly catch up with leading semiconductor manufacturing technologies, enhance production efficiency, and meet the growing demand for integrated circuits.

Introduction:


The rapid economic growth of China and technological advancements have positioned it as a major player in the global semiconductor Fabs. As of the latest from TrendForce, China is making substantial strides in expanding its semiconductor fabrication capabilities.

In this blog post, we will delve into the current state of China’s fabs, the ongoing construction projects, and the future plans of key players in the Chinese semiconductor landscape.

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How many Semiconductor Fabs are in China

Current Landscape:


According to TrendForce, China currently operates 44 fabs, with 25 of them dedicated to 12-inch wafers, 4 for 6-inch wafers, and 15 for 8-inch fabs and production lines. It’s noteworthy that 7 fabs are temporarily suspended, indicating a dynamic environment with ongoing adjustments and developments.

Under Construction:


The semiconductor industry is highly competitive, and China is investing heavily in expanding its production capabilities. TrendForce’s data reveals that 22 fabs are currently under construction. Among these, 15 are focused on 12-inch wafers, while 8 are dedicated to 8-inch fabs. This significant expansion underscores China’s commitment to scaling up its semiconductor manufacturing capacity.

Read More: China in a Rush to Stockpile Semiconductor Manufacturing Equipments

Future Plans:


Several key players in the Chinese semiconductor industry, including SMIC, Nexchip, CXMT, and Silan, are gearing up for further expansion. These companies collectively plan to construct 10 additional fabs, with 9 of them designated for 12-inch wafers and 1 for 8-inch wafers. This signals not only a quantitative increase in fabs but also a strategic emphasis on adopting mature processes.

Maturity Focus:


A noteworthy aspect of China’s semiconductor expansion strategy is its focus on mature processes. By the end of 2024, China aims to establish 32 large fabs, all of which will prioritize mature processes. This strategic choice reflects a desire to quickly catch up with leading semiconductor manufacturing technologies, enhance production efficiency, and meet the growing demand for integrated circuits.

China fab
Image Credits: Trendforce

Implications for the Global Semiconductor Landscape:


China’s aggressive push into semiconductor manufacturing has global implications. As the country aims to establish itself as a major player in the industry, it could potentially alter the dynamics of the global supply chain. The increased production capacity in China might influence the balance of power among semiconductor-producing nations and impact the availability and pricing of critical components.

Challenges and Considerations:


While China’s semiconductor ambitions are ambitious and far-reaching, there are challenges to overcome. The industry is highly complex, and success depends on factors such as technological innovation, talent acquisition, and international collaboration. Additionally, geopolitical considerations and trade tensions may impact the trajectory of China’s semiconductor industry.

Read More: China New Economic Blueprint: High-Tech Manufacturing and the 4th Industrial Revolution

Conclusion:


China’s semiconductor industry is undergoing a major transformation. The focus is on increasing production capacity, adopting mature processes, and aiming to become a global leader in semiconductor manufacturing. The developments in Chinese semiconductor manufacturing will play a key role in shaping the future of technology and innovation.

Editorial Team
Editorial Team
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