In 2018, the revenue of global integrated circuit industry totaled about USD 480 billion, representing a CAGR of less than 10% from 2014 to 2018; the revenue of China’s integrated circuit industry was about USD 98.70 billion, representing a CAGR of about 25% from 2014 to 2018. In China, the revenue from integrated circuit designing was about USD 38.07 billion, accounting for 38.60% of the revenue of the integrated circuit industry; the revenue from integrated circuit manufacturing was about USD 27.48 billion, accounting for about 27.80%; the revenue from integrated circuit packaging and testing was about USD 33.15 billion, accounting for 33.60%.
According to CRI, since China joined the WTO, its integrated circuit industry has been developing. However, because of outdated technologies and insufficient talents, China’s integrated circuit manufacturing lags behind the international advanced level for one to two generations; integrated circuit designing contains low technological content and is monotonous; integrated circuit packaging and testing have a gap with the international mainstream level. Therefore, China relies heavily on the imports of high-end integrated circuits. In 2018, the import volume of integrated circuits in China was 417.60 billion units, increasing by 10.80% YOY; the import value was USD 312.06 billion, increasing by about 20% YOY; the export volume was 217.10 billion units, increasing by 6.20% YOY; the export value was USD 84,636 million, increasing by 26.60% YOY. China’s trade deficit in integrated circuits reached USD 227.40 billion in 2018 and is still growing. China has become an important market for global chip enterprises. In 2018, Chinese enterprises contributed more than half to the sales revenue of major U.S. chip enterprises such as Qualcomm, Broadcom, Micron and Marvell.
According to CRI, the growth of China’s integrated circuit market in recent years are mainly driven by automotive electronics, industrial automation, Internet of Things (IoT), communication equipment, etc. Global personal computer production is declining while smart phone production still has space for further expansion. The development of cloud computing, IoT, big data, 5G and other relevant industries boost the demand for integrated circuits. China is the world’s largest foundry, automobile producer and consumer and electronics manufacturing base. It is expected that for a long time in the future, China will remain the world’s largest integrated circuit consumer, and the market size of integrated circuits in China will continue to grow. In 2018, the production volume of automobiles in China decreased to 27.81 million units by 4.20% YOY while that of new energy vehicles (electric vehicles) increased to 1.27 million units by about 60% YOY. A new energy vehicle has far greater demand for integrated circuits than a fuel vehicle. With the rapidly expanding production of new energy vehicles, the automotive industry has become a major driving force for the growth of China’s integrated circuit market. In 2018, the production volumes of smart phones and personal computers in China reached more than 1.30 billion units and about 300 million units respectively, both ranking the first in the world.
As labor costs keep rising in recent years, it is indispensable for China to enhance automation in manufacturing. The growing demand for industrial automation equipment such as CNC machine tools and industrial robots increases the demand for integrated circuits.
In the context of wider IT applications and booming IoT, China has an increasing demand for smart cities, smart logistics and industrial monitoring. According to CRI, the market size of IoT in China exceeded CNY 1 trillion in 2018, which means that the demand for integrated circuits on China’s IoT market is also rising rapidly.
According to CRI, as China lags behind in integrated circuit technologies, China’s integrated circuit industry and its downstream industries will face huge risks such as production suspension in the Sino-U.S. trade war and other international trade disputes or sanctions. Theoretically, the localization of integrated circuits may take 10 to 20 years with an investment of over USD 200 billion. Actually, it cannot be achieved within 20 years in lack of funds, advanced technologies and talents. It is expected that in the next few years, some Chinese integrated circuit enterprises will improve technologies and production capacity by importing advanced technologies and equipment, introducing high-end talents and even merging with or acquiring overseas integrated circuit enterprises. For global integrated circuit enterprises, the Chinese market is full of investment enterprises.
– Status of global integrated circuit industry
– Chinese government’s supportive policies on the integrated circuit industry
– Supply of integrated circuits
– Market demand for integrated circuits
– Major integrated circuit enterprises in China
– Analysis on import and export of integrated circuits in China
– Threats and challenges to the integrated circuit industry
– Prospect of the integrated circuit industry from 2019 to 2023
– Impact of the Sino-U.S. trade war on the integrated circuit industry
Table of Contents
Table of Contents
1 Overview of the Integrated Circuit Industry
1.1 Definition and Classification
1.2.1 Data Sources
1.2.2 Parameters and Assumptions
1.3 Overview of Global Integrated Circuit Industry
2 Development Environment for Global and China’s Integrated Circuit Industries, 2019-2023
2.1 Macro Economy
2.1.1 Global Economy
2.1.2 China’s Economy
2.2 Industrial Policies
2.2.1 Overview of Industrial Policies
2.2.2 Key Policies
2.3 International Trade
2.4 Impact of the Sino-U.S. Trade War on the Integrated Circuit Industry
3 Analysis on China’s Integrated Circuit Industry, 2014-2018
3.1.1 Total Supply
3.1.2 Supply Structure
3.2.1 Total Demand
3.2.2 Demand Structure
3.3 Analysis on Subsectors
3.3.1 Integrated Circuit Designing
3.3.2 Chip Manufacturing
3.3.3 Packaging and Testing
4 Competition in China’s Integrated Circuit Industry, 2018-2019
4.1 Barriers to Entry
4.1.1 Policy Barrier
4.1.2 Technical Barrier
4.1.3 Fund Barrier
4.1.4 Sales Channel Barrier
4.2 Competitive Structure of China’s Integrated Circuit Industry
4.2.1 Bargaining Power of Upstream Suppliers
4.2.2 Bargaining Power of Downstream Customers
4.2.3 Market Competition
4.2.4 Threats from New Entrants
4.2.5 Substitutes for Integrated Circuits
4.3 Competition in Subsectors of China’s Integrated Circuit Industry
4.3.1 Integrated Circuit Designing
4.3.2 Chip Manufacturing
4.3.3 Packaging and Testing
5 Analysis on Industry Chain of Integrated Circuits in China, 2018-2019
5.1 Introduction to the Industry Chain
5.1.1 Structure of the Industry Chain
5.1.2 Features of the Industry Chain
5.2 Upstream of China’s Integrated Circuit Industry
5.2.1 Raw Materials
5.2.2 Equipment Manufacturing
5.3 Downstream of China’s Integrated Circuit Industry
5.3.3 Electronics Manufacturing
5.3.4 Industrial Automation
5.3.5 Internet and Communications
6 Major Integrated Circuit Enterprises in China, 2018-2019
6.1 Major Integrated Circuit Designing Enterprises
6.1.1 HiSilicon Technologies Co., Ltd.
6.1.2 Unisoc Technologies Inc.
6.1.3 Sanechips Technology Co., Ltd.
6.1.4 Huada Semiconductor Co., Ltd.
6.1.5 Beijing Smartchip Microelectronics Technology Company Limited
6.1.6 Shenzhen Goodix Technology Co., Ltd.
6.1.7 Hangzhou Silan Microelectronics Co., Ltd.
6.1.8 Duntai Technology (Shenzhen) Co., Ltd.
6.1.9 GalaxyCore Shanghai Limited
6.1.10 Vimicro Corporation
6.2 Major Integrated Circuit Manufacturers
6.2.1 Samsung (China) Semiconductor Co., Ltd.
6.2.2 Semiconductor Manufacturing International Corporation
6.2.3 SK hynix Semiconductor (China) Ltd.
6.2.4 Intel Semiconductor (Dalian) Ltd.
6.2.5 Shanghai Huahong (Group) Co., Ltd.
6.2.6 China Resources Microelectronics Limited
6.2.7 TSMC China Company Limited
6.2.8 Xi’an Microelectronics Technology Institute
6.2.9 Wuhan Xinxin Semiconductor Manufacturing Co., Ltd.
6.2.10 Hejian Technology (Suzhou) Co., Ltd.
6.3 Major Integrated Circuit Packaging and Testing Enterprises
6.3.1 Jiangsu Xinchao Technology Group Co., Ltd.
6.3.2 Nantong Huada Microelectronics Group Co., Ltd.
6.3.3 Tianshui Huatian Electronics Group Co., Ltd.
6.3.4 RF Micro Devices (Beijing) Co., Ltd.
6.3.5 NXP Semiconductors
6.3.6 Intel Products (Chengdu) Ltd.
6.3.7 Amkor Assembly & Test (Shanghai) Co., Ltd.
6.3.8 Hitech Semiconductor (Wuxi) Co., Ltd.
6.3.9 Diodes Shanghai Co., Ltd.
6.3.10 SanDisk Semiconductor (Shanghai) Co., Ltd.
7 Analysis on Import and Export of Integrated Circuits in China, 2014-2023
7.1 Import of Integrated Circuits
7.1.1 Overview of China’s Integrated Circuit Imports
7.1.2 Structure of China’s Integrated Circuit Imports
7.1.3 Major Sources of China’s Integrated Circuit Imports
7.2 Export of Integrated Circuits
7.2.1 Overview of China’s Integrated Circuit Exports
7.2.2 Structure of China’s Integrated Circuit Exports
7.2.3 Major Destinations for China’s Integrated Circuit Exports
7.3 Prospect of Import and Export of Integrated Circuits in China, 2019-2013
8 Prospect of Global and China’s Integrated Circuit Industries, 2019-2023
8.1 Factors Influencing the Development of the Integrated Circuit Industry
8.1.1 Driving Forces and Market Opportunities
8.1.2 Threats and Challenges
8.2 Forecast on Supply of Integrated Circuits on Global and Chinese Markets, 2019-2023
8.2.1 Forecast on Production Volume of Integrated Circuits
8.2.2 Forecast on International Trade of Integrated Circuits
8.3 Forecast on Demand for Integrated Circuits on Global and Chinese Markets, 2019-2023
8.3.1 Forecast on Overall Demand
8.3.2 Forecast on Demand by Market Segment
Chart Revenue of Global Integrated Circuit Industry, 2014-2018
Chart Revenue of China’s Integrated Circuit Industry, 2014-2018
Chart Key Policies on China’s Integrated Circuit Industry, 2013-2018
Chart Production Volume of Integrated Circuits in China, 2014-2018
Chart Structure of Integrated Circuit Products in China in 2017
Chart Production Volume of Automobiles in China, 2014-2018
Chart Production Volume of Mobile Phones in China, 2014-2018
Chart Market Size of Integrated Circuits in China, 2014-2018
Chart Import Value of Integrated Circuits in China, 2014-2018
Chart Major Sources of China’s Integrated Circuit Imports in 2017
Chart Proportion of Sales Revenue from Integrated Circuit Designing in the Revenue of China’s Integrated Circuit Industry, 2014-2018
Chart Sales Revenue from Integrated Circuit Designing in China, 2014-2018
Chart Sales Revenue from Integrated Circuit Manufacturing in China, 2014-2018
Chart Sales Revenue from Integrated Circuit Packaging and Testing in China, 2014-2018
Chart Forecast on Production Volume of Integrated Circuits in China, 2019-2023
Chart Forecast on Import Volume of Integrated Circuits in China, 2019-2023