Written by Chi Ban and Brenda Goh
BEILG/Shanghai (Reuters) – A consulting said on Wednesday that China’s design equipment in China is scheduled to decrease this year after three years of growth, as the industry is wrestling with excessive capacity and faces greater restrictions on US sanctions.
China was the largest buyer of chip -making equipment for at least two years, bought tools worth $ 41 billion and accountable for 40 % of global sales in 2024.
But this year, China’s spending is expected to decrease to $ 38 billion, a 6 % decrease on an annual basis, and its share of global purchases will decrease to 20 % in the first decrease since 2021, Boris Medoyev, Supreme Separate Manufacturing Analyst In Techinsights, tell an online symposium.
“We can see some slowdown in Chinese spending due to export controls and excessive capacity,” he said.
China was the world -level growth program for the global WFF manufacturing equipment in 2023 and 2024, when the broader market witnessed a contraction due to the decline in demand for consumer electronics.
Several purchases in China were stored as the United States imposed a series of sanctions in an attempt to establish Beijing’s ability to reach chips and produce them that could help enhance the artificial intelligence of military applications or threaten US national security in another way.
Chinese chip companies continued to make progress despite Washington’s efforts, as Huawei, the largest chip maker in China, produced an advanced chip last year using more expensive and arduous efforts.
They also expanded significantly in the mature knots sector, which greatly increases production capacity and taking the market share of Taiwanese competitors.
The SMIC mark was on Wednesday that it witnessed the risk of an increase in the width in the ripe knots.
Meura Technology Group said that they expanded their mark in the world, with NAURA now the seventh largest equipment manufacturing company in the world in terms of sales.
While China is working to become more self -sufficient in the chip industry equipment, its largest weaknesses remain the stone printing systems, as well as testing and assembly tools, Medoyev said.
The Netherlands “ASML” is the largest stone printing machines factory in the world. Metodiev added that Chinese companies provided only 17 % of testing tools and 10 % of the collection equipment used in the country in 2023.
(Participated in the reports of Chi Ban and Brenda Goh; Al -Tahrir by Jimmy Farid)