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Output value of Taiwan's 2012 IC industry expected to rise

Output value of Taiwan's 2012 IC industry expected to rise

Taipei, June 28 (CNA) Production value of Taiwan's semiconductor industry for 2012 is expected to rise 6 percent from a year earlier on the back of solid growth in the foundry and integrated circuit design businesses, the Market Intelligence & Consulting Institute (MIC) said Thursday. Chris Hung, an analyst at the MIC -- a unit of the government-sponsored Institute for Information Industry, said output value of the local IC sector is expected to total NT$1.54 trillion (US$51.4 billion) for 2012, up 6 percent from 2011. Hung said the estimated output growth in Taiwan is higher than the expected increase in output for the global IC industry, which is likely to see its production value for 2012 increase about 2.2 percent year-on-year to US$306.1 billion (NT$9.17 trillion). Hung said the global IC market bottomed out in the first quarter of this year and is expected to perform better in the second half, compared with the first half. He added the world's semiconductor sector is likely to improve from quarter to quarter in the second half.
In Taiwan, the semiconductor sector has made a strong rebound in the second quarter as buyers restocked their inventories, Hung said, adding the local foundry and IC design segments are expected to enjoy relatively strong growth in the second half of the year. Hung said output value of the local foundry business for 2012 is expected to rise 15 percent from a year earlier to NT$607.9 billion. Chips on the 40 nanometer and advanced 28 nm processes are expected to account for about 40 percent of the total output of the local foundry business by the end of this year, up from almost 30 percent anticipated in the second quarter, Hung said. Hung said, however, the lingering debt problems in the eurozone may cast uncertainty over the foundry business and compromise its growth in shipments. Production value of the local IC design business for 2012 is expected to rise 4.2 percent from a year earlier to NT$415.2 billion, Hung said. The analyst said the local IC design segment is expected to benefit from rising demand for chips used in low-end smartphones from China, while growth in demand for chips used in TVs and top set boxes is likely to push sales higher for the segment. (By Jalem Chung and Frances Huang)


Updated : 2021-04-16 07:41 GMT+08:00