Semiconductor Fabrication Materials Market Size & Growth Analysis to 2030

The global semiconductor fabrication materials market size is expected to experience a significant CAGR of over 6% during the forecast period 2022 to 2028. The increasing integration of digitally integrated ICs in various applications such as electric & electronics, telecommunication, and automotive coupled with the increasing sales of semiconductors is a primary factor to drive the market growth. According to the latest information shared by Semiconductor Industry Association (SIA), the global semiconductor sales were valued at US$ 555.9 billion in 2021 and registered a growth of 26.2% compared to 2020.

Furthermore, the increasing penetration of smartphones and smart devices, and the growing electrification of the automobile are further anticipated to fuel the market growth over the forecast period. Moreover, the increasing consumption of consumer electronics across the globe is expected to increase the demand for semiconductor fabrication materials. In addition, product innovation and technology development and the growing investment in new fabrication materials are projected to propel the market growth.

Market Drivers:

Increasing Demand for Semiconductor Devices: The growing demand for semiconductor devices, such as microchips, integrated circuits, and electronic components, drives the demand for semiconductor fabrication materials. Semiconductor devices are used in various industries, including consumer electronics, automotive, healthcare, telecommunications, and industrial sectors. The increasing adoption of smartphones, tablets, IoT devices, and emerging technologies like artificial intelligence and 5G networks fuels the demand for semiconductor fabrication materials.

Technological Advancements in Semiconductor Manufacturing: The continuous advancements in semiconductor manufacturing technologies, such as smaller transistor sizes, higher circuit densities, and improved performance, drive the demand for advanced semiconductor fabrication materials. New materials and processes are required to meet the increasingly stringent requirements for precision, reliability, and performance in semiconductor devices. Materials such as photoresists, dielectrics, etchants, and dopants are essential for advanced semiconductor fabrication.

Miniaturization and High-Performance Requirements: The trend towards miniaturization of electronic devices and the demand for high-performance semiconductors are driving factors for the semiconductor fabrication materials market. As electronic devices become smaller and more powerful, there is a need for materials that can enable the fabrication of smaller and more complex semiconductor components. Materials with improved electrical properties, thermal conductivity, and mechanical strength are required to meet the miniaturization and high-performance requirements.

Semiconductor Packaging and Interconnect Technologies: The growth of advanced packaging and interconnect technologies, such as flip-chip, wafer-level packaging, 3D integration, and system-in-package (SiP), drives the demand for semiconductor fabrication materials. These technologies require materials such as solder balls, underfills, bonding wires, and wafer-level encapsulants. The increasing complexity and sophistication of semiconductor packaging techniques contribute to the demand for advanced fabrication materials.

Increasing Investment in Semiconductor Manufacturing: The semiconductor industry is characterized by significant investments in manufacturing facilities and equipment. Governments and companies are investing in the expansion of semiconductor fabrication plants to meet the growing demand for semiconductors. These investments drive the demand for semiconductor fabrication materials, including chemicals, gases, photoresists, masks, and other materials required for the semiconductor manufacturing process.

Shift towards Advanced Materials: The semiconductor industry is witnessing a shift towards advanced materials to enhance the performance and efficiency of semiconductor devices. For example, the adoption of new materials such as high-k dielectrics, metal gate electrodes, and low-k dielectrics enables the development of advanced transistors with improved electrical properties and reduced power consumption. The demand for advanced materials in semiconductor fabrication contributes to the growth of the market.

Environmental and Safety Regulations: Environmental and safety regulations have an impact on the selection and use of materials in the semiconductor fabrication process. There is an increasing focus on using environmentally friendly materials and reducing the use of hazardous substances in semiconductor manufacturing. Compliance with regulations such as Restriction of Hazardous Substances (RoHS) and Registration, Evaluation, Authorization, and Restriction of Chemicals (REACH) influences the choice of fabrication materials.

Collaborations and Partnerships: Collaboration among semiconductor manufacturers, material suppliers, and research institutions plays a significant role in driving the semiconductor fabrication materials market. Collaborative efforts enable the development of innovative materials, processes, and technologies to meet the evolving needs of the semiconductor industry. Partnerships between material suppliers and semiconductor manufacturers help in the customization and optimization of fabrication materials for specific applications.

Market Snapshot:

Market Insights:

By material, the silicon wafers segment is expected to hold the largest market share of over one-third share of the global market

The global semiconductor fabrication materials market is bifurcated into the material, semiconductor type, end-use industry, and geography. On the basis of material, the market is further segmented into silicon wafers, photomasks, photoresist ancillaries, CMP slurry & pads, and others. The silicon wafers segment dominated the global market in 2020 and is expected to hold the largest revenue share of over 1/3 share of the market by the end of the analysis period. On the flip side, the photoresist ancillaries segment is expected to register the fastest growth rate over the forecast period. The increasing use of photoresists in various applications such as fabrication of printed circuit boards, microelectronics, and patterning is expected to drive segment growth.

By end-use industry, the electric & electronics segment dominated the global market in 2020

On the basis of the end-use industry, the market is segmented into telecommunication, energy, electrical and electronics, automotive, and others. The electric and electronics segment dominated the global semiconductor fabrication materials market in 2020 and is expected to register the fastest growth rate over the forecast period. The fabrication materials are used in the manufacturing of various types of electronic components such as diodes, chips, transistors, and integrated circuits. The increasing consumption of consumer electronics across the globe is a primary factor to drive the segment growth. Furthermore, the growing demand for computers and other communication equipment are further expected to fuel the segment growth over the forecast period.

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The semiconductor fabrication materials comprehensive study analyzes industry trends, market size, competitive analysis, and market forecast – 2022 to 2028. Research Corridor report provides detailed premium insight into the global market and reveals the potential revenue streams, commercial prospects, market drivers, challenges, opportunities, issues, and events affecting the industry. In addition, the report has a dedicated section covering market forecasts and analysis for leading geographies, profiles of major companies operating in the market, and expert opinion obtained from interviews with industry executives and experts from prominent companies.

The semiconductor fabrication materials market research report presents the analysis of each segment from 2019 to 2028 considering 2020 as the base year for the research. The compounded annual growth rate (CAGR) for each respective segment is calculated for the forecast period from 2021 to 2027.

Historical & Forecast Period

• 2019-20 – Historical Year
• 2021 – Base Year
• 2022-2028 – Forecast Period

Market Segmentation:

By Material:

• Silicon Wafers
• Photomasks
• Photoresist Ancillaries
• Wet Chemicals
• Gases
• Sputter Targets
• CMP Slurry & Pads
• Others

By Semiconductor Type:

• N-Type
• P-Type

By End-Use Industry:

• Telecommunication
• Energy
• Electrical and Electronics
• Medical and Healthcare
• Automotive
• Defense & Aerospace
• Others

By Region:

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East & Africa

Regional Analysis:

Geographically, the Asia Pacific is expected to grow at the fastest growth over the forecast period. China is one of the largest consumers and producers of semiconductors which is a major factor to drive the global semiconductor fabrication materials market in the region. China holds a significant market share of over 27% of the global semiconductor industry. Furthermore, the increasing investment in the semiconductor industry is further expected to fuel the market growth in the Asia Pacific. Moreover, the growing population, increasing disposable income, and the rising demand for consumer electronics in developing economies are expected to boost the market growth in the region.

Competitive Assessment:

Some of the major market players operating in the global semiconductor fabrication materials market are DuPont de Nemours, Inc., Shin-Etsu Chemical Co. Ltd., Air Liquide S.A, Sumco Corporation, and Versum Materials Inc. Companies are exploring markets by expansion, new investment, the introduction of new services, and collaboration as their preferred strategies. Players are exploring new geography through expansion and acquisition to gain a competitive advantage through joint synergy.

Key Companies:

• DuPont de Nemours, Inc.
• Shin-Etsu Chemical Co. Ltd.
• Air Liquide S.A
• Sumco Corporation
• Versum Materials Inc.
• JSR Corporation
• Sumitomo Chemical
• Globalwafers
• Honeywell International Inc.
• Photronics, Inc.

Key Questions Answered by Semiconductor Fabrication Materials Market Report

• Global semiconductor fabrication materials market forecasts from 2022-2028
• Regional market forecasts from 2022-2028 covering Asia-Pacific, North America, Europe, Middle East & Africa, and Latin America
• Country-level forecasts from 2022-2028 covering 15 major countries from the regions as mentioned above
• Semiconductor fabrication materials submarket forecasts from 2022-2028 covering the market by material, by semiconductor type, by end-use industry, and geography
• Various industry models such as SWOT analysis, Value Chain Analysis about the market
• Analysis of the key factors driving and restraining the growth of the global, regional, and country-level semiconductor fabrication materials markets from 2022-2028
• Competitive Landscape and market positioning of top 10 players operating in the market