Semiconductor Manufacturing Equipment Market

Global Semiconductor Manufacturing Equipment Market Outlook (2024 to 2034)

The global semiconductor manufacturing equipment market size is valued at USD 105.1 billion in 2024. The market is predicted to expand at a CAGR of 7.7% during the forecast period. The global semiconductor manufacturing equipment industry valuation is estimated to reach nearly USD 220 billion by 2034.

The semiconductor sector is developing fast as new inventions and technology are emerging to produce high-performance and customized chips in the semiconductor tooling industry. The growing demand for seconductors likely to bolster market growth in the coming years.

Report Attribute	Details
Semiconductor Manufacturing Equipment Market Size (2024)	USD 105.1 billion
Market Anticipated Forecast Value (2034)	USD 220 billion
Market Projected Growth Rate (2024 to 2034)	7.7% CAGR

Semiconductor Manufacturing Equipment Market Trends & Analysis

State-of-the-art semiconductor machinery used in producing semiconductors to create compact and more powerful chips is in greater demand. To allow further smaller feature sizes on semiconductors, leading players are developing extreme ultraviolet (EUV) lithography systems with a larger numerical aperture (NA).

The shift toward edge computing by businesses worldwide has necessitated the production of chips using semiconductor manufacturing equipment that can process data closer to the source.

Hence, cyber-physical systems (CPS) are underway to create automated and more intelligent industrial processes for increased efficiency and lower latency by integrating machinery, sensors, and data analytics.

Global Semiconductor Manufacturing Equipment Market Historical Analysis Vs Forecast Outlook

The global semiconductor manufacturing equipment market was valued at USD 68 billion in 2019. According to the industry survey report, the global sales of semiconductor manufacturing equipment rose at 9.2% per year between 2019 and 2023. The overall market value was about USD 96.7 billion by 2023.

The rising demand for speed and connection with the development of 5G infrastructure necessitated the use of cutting-edge semiconductor production equipment during this period.

Moreover, the uncertainty of global supply chains came to light during the pandemic period resulting in semiconductor manufacturers investing more in cutting-edge machinery for reliable manufacturing.

Attributes	Details
Semiconductor Manufacturing Equipment Market Revenue (2019)	USD 68 billion
Market Revenue (2023)	USD 96.7 billion
Market Historical Growth Rate (CAGR 2019 to 2023)	9.2% CAGR

Prominent Factors Driving the Global Semiconductor Manufacturing Equipment Market Demand

The growing need for cutting-edge chips in the automotive industries for integrating autonomous driving and smart functionalities is likely to fuel the demand.

Likewise, the ever-increasing demand for high-performance chips for powerful computer systems in fields such as scientific research, data analysis, and simulations is expected to drive further innovations in the semiconductor assembly equipment market.

The use of semiconductors in making memory chips influences the overall market growth. The development of new memory technologies, such as non-volatile memory and high-speed RAM, is expected to create new growth opportunities for the market players.

Country-wise Insights

The table below lists the top-performing countries in producing and selling semiconductor manufacturing equipment.

Regional Market Comparison	CAGR (2024 to 2034)
United States	7.8%
Japan	8.8%
United Kingdom	8.9%
South Korea	9.8%
China	8.2%

Innovations Boost Market’s Growth Prospects in the United States

The sales of semiconductor manufacturing equipment in the United States are forecasted to increase at 7.8% CAGR through 2034. The country’s market value is expected to reach USD 39.6 billion by 2034. This rise is attributable to:

• Presence of various premier consumer electronics manufacturing companies in the United States, like Apple, Intel, Dell, and others.
• Regional players are pairing extreme ultraviolet (EUV) lithography systems with multi-patterning techniques such as double and quad patterning, thereby boosting the market’s growth prospects.

Renewable Energy Technologies Drive the Demand in the United Kingdom

The demand for semiconductor fabrication tools is anticipated to rise at an 8.9% CAGR between 2024 and 2034. The country’s market value is poised to reach USD 9 billion by 2034.

• Semiconductor manufacturing equipment industries witnessed a noticeable growth in the last decade in creating chips, particularly for the electronics used in the country's healthcare sector.
• Specialized manufacturing equipment is in high demand due to advancements in semiconductor devices used in solar panels, energy storage systems, and other renewable energy technologies.

Semiconductor Machinery Industry in China Strengthening with Government Support

Sales of semiconductor manufacturing equipment in China are projected to increase at a CAGR of 8.2% till 2034. The net worth of the market in China is expected to reach USD 35.1 billion by 2034.

• The regional industry is developing fast to generate sophisticated and effective chips used in the vast array of electronics manufacturing industries of China.
• Funding from the Chinese government for further expansion of the industrial equipment manufacturing sector is boosting the production of semiconductors.

Rising Adoption of Advanced Computing Technologies Surges Sales in Japan

In Japan, semiconductor manufacturing equipment sales are poised to amplify at a CAGR of 8.8% from 2024 to 2034. The overall market value is forecasted to reach USD 23.6 billion by 2034.

• Japan's adoption of environmentally friendly semiconductor production equipment is increasing due to its alignment with international industry and regulatory sustainability goals.
• Significant progress and development in the study of quantum computing have heightened the demand for semiconductor machinery to create parts that can support quantum computing architectures.

Automotive Sector Growth Boosts Semiconductor Manufacturing in South Korea

The demand for semiconductor manufacturing equipment in South Korea is expected to rise at a CAGR of 9.8% through 2034. The country’s total market value is anticipated to reach USD 13.4 billion by 2034.

• Innovations in South Korea's rapidly growing automotive industry are fuelling the demand for semiconductor processing equipment in the country.
• With the advancement of the Internet of Things (IoT) and wearable technologies, the need for improved semiconductor manufacturing equipment is rising in South Korea.

Category-wise Insights

Front-end Equipment to Experience a Greater Demand

Attributes	Details
Top Equipment Type	Front-end Equipment
Segment Growth Rate (2024 to 2034)	7.5% CAGR
Segment Growth Rate (2019 to 2023)	9% CAGR

Based on equipment type, the front-end semiconductor manufacturing equipment segment dominates over the back-end semiconductor manufacturing equipment segment. The front-end segment is expected to expand at 7.5% CAGR between 2024 and 2034.

• Advanced front-end manufacturing equipment is in greater demand to produce customized chips that tackle cybersecurity concerns. Businesses aim to boost resilience to cyberattacks by creating more secure semiconductor components.
• The noticeable expansion of data centers worldwide is expected to generate ample market opportunities for back-end semiconductor manufacturing equipment in the future.

2D Semiconductor Chips to Thrive as the Leading Dimension Type

Based on dimension type, the 2D semiconductor manufacturing equipment segment currently garners higher revenue than other segments. This segment is poised to develop further at a rate of 7% per year till 2034.

Attributes	Details
Top Dimension Type	2D
Segment Growth Rate (2024 to 2034)	7% CAGR
Segment Growth Rate from (2019 to 2023)	8.7% CAGR

• The growing necessity for smaller, more efficient semiconductor components drives the demand for 2D semiconductor manufacturing equipment capable of producing chips at nanoscale levels.
• Innovations in the Internet of Things (IoT) and Artificial Intelligence (AI) technologies are expected to boost the demand for 2.5D and 3D semiconductor manufacturing equipment.

Competitive Landscape

The semiconductor manufacturing equipment market is highly concentrated. Prominent leading players exist in the United States, Europe, and East Asia.

The semiconductor sector in various developing economies is stimulated by increased government spending on research and technical breakthroughs. The emergence of new market players is expected to make the market more competitive in the coming days.

Recent Developments in Semiconductor Manufacturing Equipment Market

• In January 2022, ASML Holding N.V. and Intel Corp. confirmed the next step in their continuing collaboration to advance semiconductor lithography technology. ASML is the developer of the revolutionary TWINSCAN EXE: 5200 system using extreme EUV technology. This state-of-the-art equipment is a high-volume semiconductor manufacturing system with a tremendous output rate of more than 200 wafers each hour.
• In May 2021, Applied Materials Incorporate introduced an optical semiconductor inspection device that uses cutting-edge technologies, including big data and AI. These devices are used in semiconductor production facilities to check chips used in electronic devices and detect flaws in integrated circuits.

Key Players Profiled in the Semiconductor Manufacturing Equipment Market Report

• Applied Materials Inc.
• Lam Research Corporation
• KLA Corporation
• ASML
• Tokyo Electronic Limited
• Advantest Corporation
• SCREEN Semiconductor Solutions Co., Ltd.
• Cohu, Inc.
• ACM Research Inc.
• Nordson Corporation

Semiconductor Manufacturing Equipment Market Report Scope

Attribute	Details
Estimated Market Size (2024)	USD 105.1 billion
Projected Market Size (2034)	USD 220 billion
Anticipated Growth Rate (2024 to 2034)	7.7%
Forecast Period	2024 to 2034
Historical Data Available for	2019 to 2023
Market Analysis	USD million or billion for Value and Units for Volume
Key Regions Covered	North America; Latin America; Europe; Middle East & Africa (MEA); East Asia; South Asia and Oceania
Key Countries Covered	United States, Canada, Brazil, Mexico, Germany, Spain, Italy, France, United Kingdom, Russia, China, India, Australia & New Zealand, GCC Countries, and South Africa
Key Segments Covered	By Product Type, By Application, By Dimension, and By Region
Key Companies Profiled	Applied Materials Inc.; Lam Research Corporation; KLA Corporation; ASML; Tokyo Electronic Limited; Advantest Corporation; SCREEN Semiconductor Solutions Co., Ltd.; Cohu, Inc.; ACM Research Inc.; Nordson Corporation
Report Coverage	Market Forecast, Company Share Analysis, Competition Intelligence, DROT Analysis, Market Dynamics and Challenges, and Strategic Growth Initiatives
Customization & Pricing	Available upon Request

Table of Content

• 1. Executive Summary
• 2. Market Overview
• 3. Market Background
• 4. Global Market Analysis 2019 to 2023 and Forecast, 2024 to 2034
• 5. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Equipment Type
  • 5.1. Front-end Equipment
  • 5.2. Back-end Equipment
• 6. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Dimension
  • 6.1. 2D
  • 6.2. 2.5D
  • 6.3. 3D
• 7. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Application
  • 7.1. Semiconductor Fabrication Plant/Foundry
  • 7.2. Semiconductor Electronics Manufacturing
  • 7.3. Test Home
• 8. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Region
  • 8.1. North America
  • 8.2. Latin America
  • 8.3. Western Europe
  • 8.4. Eastern Europe
  • 8.5. South Asia and Pacific
  • 8.6. East Asia
  • 8.7. Middle East and Africa
• 9. North America Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Country
• 10. Latin America Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Country
• 11. Western Europe Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Country
• 12. Eastern Europe Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Country
• 13. South Asia and Pacific Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Country
• 14. East Asia Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Country
• 15. Middle East and Africa Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Country
• 16. Key Countries Market Analysis
• 17. Market Structure Analysis
• 18. Competition Analysis
  • 18.1. Applied Materials Inc
  • 18.2. Lam Research Corporation
  • 18.3. KLA Corporation
  • 18.4. ASML
  • 18.5. Tokyo Electron Limited
  • 18.6. Advantest Corporation
  • 18.7. SCREEN Semiconductor Solutions Co., Ltd
  • 18.8. Cohu, Inc.
  • 18.9. ACM Research Inc
  • 18.10. Nordson Corporation
• 19. Assumptions & Acronyms Used
• 20. Research Methodology