Semiconductor market of China slipped 6.8% in 2009
According to the research of iSuppli, China's semiconductor market was for the 68.2 billion U.S. dollars in 2009, decreased by 6.8% with last year. Relative to the global semiconductor markets' shrinking, the decline in the Chinese market was much smaller. The global output value of electronic products affected by economic crisis was 1.4 trillion U.S. dollars decreased by 9% comparing with 2008. At the same time, the global semiconductor market will drop by 16.2% to 229.5 billion U.S.dollars However, due to the export growth and the of stimulating domestic demand, China's semiconductor market will be increased 17.8% in 2010. The global semiconductor market will also be an increase of 13.7% to 261 billion U.S. dollars in 2010.
The Chinese government's economic stimulus plan to actively make China's domestic electronics market from the beginning of the first quarter of this year, began to bottoming out, iSuppli, said Wang Yang, director of China studies. To benefit from home appliances to the countryside, China's LCD TV market has shown explosive growth. In 2009 China's LCD TV market will be more than 24 million units, compared with 2008 growth of 80% subsidy policies which contributed more than 20%. Another benefit from government subsidies policy, the market is the white market, including refrigerators and washing machines market. As the Government has taken the form of tender by virtue of price advantage, including Hisense, Haier and Changhong and other Chinese enterprises have become the main beneficiaries.
At the same time, the Chinese government's automotive policy and its concessions to consumption tax of small displacement car, making China's auto market has become the highlight of this year's global automotive market. China's auto market in 2009 will reach 12 million units, compared with last year's growth of 33%. The prosperity of the automotive market has also led to the growth of domestic auto electronics market. According to iSuppli research, in 2009 the output value of China's auto electronic products will be 14.1 billion U.S. dollars. China's automotive electronics demand for semiconductors will reach 2 billion U.S. dollars, compared with 2008 growth of 11%.
Although global mobile phone market will decline by 10%, the Chinese market of mobile phone will continue to grow in 2009. China's mobile phone market, iSuppli expects sales in 2009 will reach 240 million, compared with last year's growth of 8%. Research Director Wang Yang considered that the increasing of electronic products shipments was closely related with the stimulus plan of China's electronic products. The lower costs for voice services, mobile average price decline ensured the growth of mobile communications provider in the next 5 years growth. By 2010, China's mobile phone market will reach 260 million, of which sales of 3G mobile phones will reach 25 million. Smart phones and 3G mobile phones will become a hot market.
The semiconductor industry cycle was primarily related to the strength of six or so, including: the global economic situation, electronic equipment manufacturing, chip supply and demand situation, capital investment, industrial-cum-profit private companies, and market competition. The global semiconductor market this year, a bottom end of the quarter has begun to rebound in the second quarter and third quarter of double-digit sales growth. Wang Yang thinks that with the global economic recovery and growth in the export market, China's semiconductor market will show double-digit growt in 2010.According to iSuppli research, China's semiconductor market in 2010 will increase to 800 billion U.S. dollars, compared with 2009 growth of 17.8%. From the applications view of the Internet book, Blu-ray DVD, LED TV, books, 3G smart phones, smart table, monitoring, and medical electronics products will become a hot market.