Semiconductor is experiencing a cyclical downturn, but there is still potential

The Semiconductor Industry Association (SIA) announced that the sales volume of the global semiconductor industry in January 2023 was 41.3 billion dollars, a decrease of 5.2% compared with 43.6 billion dollars in December 2022, and a decrease of 18.5% compared with 50.7 billion dollars in January 2022.

SIA President and CEO John Neuffer stated that although sales for the entire year of 2022 reached a historic high, there has been a significant decline in the global semiconductor market since the second half of the year, which continued in the first month of 2023.

Looking ahead to the market outlook, John Neuffer pointed out that the semiconductor market is currently experiencing a brief cyclical downturn, but due to the increasingly important role of chips in various key technologies today and in the future, the semiconductor market still has great potential in the long run.

From a regional perspective, Europe saw a slight month on month growth of 0.6% in January, while Japan saw a decrease of 2.1%, the Asia Pacific region saw a decrease of 2.7%, the Americas saw a decrease of 7.9%, and China saw a decrease of 8.0%, indicating a widespread month on month decline.

On a year-on-year basis, sales in Europe and Japan showed an increase, with Europe increasing by 0.9% and Japan increasing by 0.7%. The Americas saw a decrease of 12.4%, Asia Pacific/All Other Regions saw a decrease of 19.5%, and China saw a decrease of 31.6%.

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