CMP Pads & Slurries to Slump with Overall Semiconductor Market in 2023
Supply chain issues easing but still some delays for sub-assemblies and parts
San Diego, CA, February 23, 2023: TECHCET— the electronic materials advisory firm providing business and technology information on semiconductor supply chains — is forecasting the Semiconductor CMP materials market to decline around 4% for both pads and slurries in 2023. This decline comes after a year of solid growth in the 2022 CMP segment that reached 3.5B USD in revenue, a 9% increase from 2021, as highlighted in the quarterly update to TECHCET’s Critical Materials Report™ on CMP. The coming decline is highly attributable to general slowdowns in the global economy as seen with rising inflation, increases in the cost of living, and lingering effects of global events like the Russian invasion of Ukraine and COVID-19. This decline is expected to rebound after 2023, given the forecasted 4.8% CAGR for 2022-2027, as shown in the graph below.
For CMP slurries, the strongest growth over the 2021-2026 period is for polysilicon and new metals like ruthenium and cobalt. Similarly, CMP pads are expecting the largest revenue growth for polysilicon. CMP pads are also expecting a demand increase for advanced logic and memory products within the next 3 years.
Issues in the supply chain continue to complicate the CMP material market segment. CMP equipment suppliers are seeing shifts to longer lead times by several months on electronic sub-components which slows down the expansion plans of the device maker. Additionally, transportation delays, major price increases for overseas shipments, and warehousing challenges are all resulting in higher costs and quality issues.
By 2025, there could be a potential upside in the CMP market as chip fabricators and material suppliers begin operating in new expansion facilities. Fujifilm, for instance, has invested US$350 million in its US business, which includes CMP products.
For more details on the CMP market segment and growth trajectory, including profiles on suppliers like Dupont, Cabot Microelectronics, BASF, Asahi Glass, Fujifilm, and more, go to:
https://techcet.com/product/cmp-slurry-and-pads-only/
To meet with TECHCET’s market analysts and discuss CMP and other critical materials, don’t miss the 2023 CMC Conference in Austin, Texas from April 18-20 on “Are Critical Materials for Chip Expansions Ready for Launch?” To register and for more information, visit https://cmcfabs.org/2023-cmc-conference/
ABOUT TECHCET: TECHCET CA LLC is an advisory services firm expert in market and supply-chain analysis of electronic materials for the semiconductor, display, solar/PV, and LED industries. TECHCET offers consulting, subscription service, and reports, including the Critical Materials Council (CMC) of semiconductor fabricators and Data Subscription Service (DSS). For additional information, please contact info@cmcfabs.org, +1-480-332-8336, or go to www.techcet.com.