China’s Chip Output May Double in Five Years, Barclays Says
- Analysts say 60% of the capacity gains can come in three years
- Legacy chips will account for most of the extra production
Employees on the integrated circuit board production line at a factory in Suzhou, China.
Photographer: Qilai Shen/BloombergThis article is for subscribers only.
China’s chipmaking capacity will more than double in five to seven years based on local manufacturers’ existing plans, “materially more” than the market expects, according to research from Barclays analysts.
Most of that additional production capacity could be added in the next three years, based on an analysis of 48 chipmakers with fabrication plants in mainland China, the research showed.