IC Insights: Mainland China will become the second largest wafer production base in the world by 2022

IC Insights' "Global Wafer Capacity 2020-2024" report shows that as of December 2019, the installed capacity of fabs in Taiwan, China, accounted for 22% of the world. Since Taiwan surpassed South Korea as the world's largest wafer production base for the first time in 2015, it will continue to maintain its number one position during 2020-2024. According to IC Insights, Taiwan in China is expected to increase monthly production capacity of approximately 1.3 million wafers (200 mm) between 2019 and 2024.

IC Insights also pointed out that in recent years, the expansion of production capacity in mainland China has continuously increased its ranking. It is expected to jump to the second place in the world by 2022, second only to Taiwan in China. By the end of 2019, China's mainland production capacity accounted for 14% of the world.

In contrast, North America's production capacity share will decline further during the forecast period. IC Insights believes that it is mainly because large fabless manufacturers in the region will continue to rely on foundries (mainly in Taiwan, China). In addition, the share of production capacity in Europe will shrink further.