Sign in Subscribe
Semiconductor industry

China's Consumer IC Market to Reach Record High in 2005

Strategic Insights

— 2 min read

China's consumer integrated circuit (IC) market is expected to hit a record high of 100.8 billion yuan (US$12.48 billion) in 2005, with a growth rate of 24.3 per cent year-on-year, according to Li Ke from the China Semiconductor Industry Association. This growth is driven by the increasing demand for digital consumer electronics, such as DVD players and digital cameras. Experts predict that the market will continue to grow at an average annual rate of above 33.3 per cent in the 2006-2009 period, fueled by the expansion of China's consumer electronics market and the upgrading of production mix. The IC market for digital TV is expected to be a major driver of growth, with an estimated 230 million analog color TVs in China and a projected average annual demand of 15 million set-top boxes.

Key Takeaways:

  • China's consumer IC market is expected to reach 100.8 billion yuan (US$12.48 billion) in 2005, with a growth rate of 24.3 per cent year-on-year.
  • The market for ICs in digital consumer electronics grew by 40.1 per cent in 2004 compared to 2003, reaching 33.82 billion yuan.
  • The market is expected to maintain an average annual growth rate of above 33.3 per cent in the 2006-2009 period, driven by the expansion of China's consumer electronics market and the upgrading of production mix.
  • The IC market for digital TV is expected to be a major driver of growth, with an estimated 230 million analog color TVs in China and a projected average annual demand of 15 million set-top boxes.
  • The proportion of new types of digital consumer electronics, such as DVD players and digital cameras, has been increasing in recent years, while mid and high-end products have also seen an upward trend.
  • Manufacturers are expected to shift towards producing high-end digital products, including LCD TV, PDP TV, and digital cameras with higher pixel.

Statistics:

  • Sales value of China's consumer IC market in 2005: 100.8 billion yuan (US$12.48 billion)
  • Growth rate of consumer IC market in 2005: 24.3 per cent year-on-year
  • Sales volume of consumer IC in 2004: 13.7 billion
  • Sales value of ICs for digital consumer electronics in 2004: 33.82 billion yuan
  • Growth rate of IC market for digital consumer electronics in 2004: 40.1 per cent compared to 2003
  • Estimated number of analog color TVs in China: 230 million
  • Projected average annual demand of set-top boxes: 15 million

Sources:

  • Li Ke, China Semiconductor Industry Association
  • XIC (no publication date provided)

Read more