REUTERS Asian chip sales to rise 27 pct in 2004 - Gartner [DKMMFRV]
SINGAPORE, June 22 (Reuters) - China's demand for chips
that power computers, mobile phones and consumer gadgets will
help boost semiconductor industry sales across Asia by 27.4
percent to US$90.8 billion in 2004, research body Gartner said
on Tuesday.
The regional semiconductor market is expected to reach
US$138.8 billion in 2008 from US$71.3 billion in 2003, a
compounded annual growth rate of 14.3 percent, Gartner said.
"China, the electronic equipment manufacturing hub of the
world, is expected to continue to lead the industry in the
region," said Gartner analyst Philip Koh.
China is the world's third-largest consumer of chips.
China's demand will increase by 33 percent in 2004 to reach
US$39.7 billion, led by huge demand from the computer,
communications and consumer electronics segments.
"Both foreign and Chinese domestic manufacturers are trying
to provide new products and increasing investment in production
capacity to gain market share," said Tina Tang, Gartner's
China-based analyst.
South Korea will also drive the growth trend, Gartner said.
South Korea's semiconductor consumption is estimated to hit
US$16.6 billion in 2004, supported mainly by cellular phones,
digital consumer electronics products and flat panel displays.
"The digital appliance industry has indeed become a major
growth engine for the Korean electronics industry," said C.S.
Kim, Gartner's South Korean analyst.
However, growth in the Taiwan semiconductor market remains
constrained by the shift of electronic equipment manufacturing
from the island to China, particularly for data processing
applications, Gartner said.
"The semiconductor consumption market for data processing
applications in Taiwan will drop gradually after 2005, while
communications will take over from 2005," said Ben Lee,
Gartner's Taiwan analyst.
