By Greg Gao
(JW Insights) Jun 30 -- Semicon China - the premier annual trade show in the country’s semiconductor manufacturing and material industry, was held from June 29-July 1 in Shanghai with another number of attendants. Local Chinese suppliers took up more prominent exhibition space. In contrast, the Japanese, US and European suppliers were in lower profile with smaller sized booths, reflecting the geopolitical changes.
Ju Long, president SEMI China, said that a notable feature of SEMICON China 2023 is the increased participation of Chinese domestic companies, with a majority of newly added exhibitors from China.
SEMICON China 2023 had ten exhibition halls spanning a total area of 90,000 square meters. Over 1,100 exhibitors have set up more than 4,200 booths, and more than 20 conferences and events are being held concurrently, according to Semi China.
It is reported that several Japanese exhibitors have withdrawn from the event, citing market trends and the potential impact of export control measures on sales volume in the Chinese market.
The Japanese government restricted exports of 23 types of semiconductor manufacturing equipment in May, aligning its technology trade controls with US’s push to curb China’s ability to make advanced chips.
People familiar with the matter revealed that some Japanese firms have to consider changes in market trends, and Japan is vigorously promoting domestic investment in the semiconductor industry, so they have to cut some marketing budgets. On the other hand, the export restriction measures will significantly reduce the sales volume in the Chinese market, and the performance may not be as good as expected, so they are also trying to reduce expenses.
Japan’s semiconductor exports to China accounted for approximately 30% of their total exports in the field, surpassing the export amounts from the US. Japanese manufacturers’ revenue from China accounts for 20%-30% of their total revenue.
By restricting exports, Japan’s semiconductor industry may lose around 70% of its existing business in China. Furthermore, limiting collaboration with China not only means losing access to a vast market but also jeopardizes Japan’s competitiveness and the future of its semiconductor industry, according to industry observers.
By Greg Gao
(JW Insights) Jun 30 -- Semicon China - the premier annual trade show in the country’s semiconductor manufacturing and material industry, was held from June 29-July 1 in Shanghai with another number of attendants. Local Chinese suppliers took up more prominent exhibition space. In contrast, the Japanese, US and European suppliers were in lower profile with smaller sized booths, reflecting the geopolitical changes.
Ju Long, president SEMI China, said that a notable feature of SEMICON China 2023 is the increased participation of Chinese domestic companies, with a majority of newly added exhibitors from China.
SEMICON China 2023 had ten exhibition halls spanning a total area of 90,000 square meters. Over 1,100 exhibitors have set up more than 4,200 booths, and more than 20 conferences and events are being held concurrently, according to Semi China.
It is reported that several Japanese exhibitors have withdrawn from the event, citing market trends and the potential impact of export control measures on sales volume in the Chinese market.
The Japanese government restricted exports of 23 types of semiconductor manufacturing equipment in May, aligning its technology trade controls with US’s push to curb China’s ability to make advanced chips.
People familiar with the matter revealed that some Japanese firms have to consider changes in market trends, and Japan is vigorously promoting domestic investment in the semiconductor industry, so they have to cut some marketing budgets. On the other hand, the export restriction measures will significantly reduce the sales volume in the Chinese market, and the performance may not be as good as expected, so they are also trying to reduce expenses.
Japan’s semiconductor exports to China accounted for approximately 30% of their total exports in the field, surpassing the export amounts from the US. Japanese manufacturers’ revenue from China accounts for 20%-30% of their total revenue.
By restricting exports, Japan’s semiconductor industry may lose around 70% of its existing business in China. Furthermore, limiting collaboration with China not only means losing access to a vast market but also jeopardizes Japan’s competitiveness and the future of its semiconductor industry, according to industry observers.
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