[News] China’s Nexchip Reportedly to Overtake Taiwan’s VIS and PSMC in 2025 Amid Mature Process Expansion

As noted by Central News Agency, since China is actively expanding in mature nodes, the impact of the country’s newly added capacity is expected to intensify. TrendForce predicts that China’s foundry giant Nexchip will surpass Taiwanese foundries VIS and PSMC, moving up from 10th to 8th place in the global foundry rankings by 2025.

Supported by the Chinese government, Nexchip has been aggressively expanding its capacity. TrendForce notes that its revenue climbed to USD 344 million in Q4 2024, surpassing PSMC’s USD 333 million, which elevated Nexchip from 10th to 9th place in the 4Q24 global foundry ranking. However, on a full-year basis, Nexchip’s total revenue remains slightly below that of PSMC, placing it 10th globally.

China’s Mature Node Capacity to Hit Nearly 50% Globally by 2030

In addition, TrendForce points out that between 2021 and 2030, the compound annual growth rate (CAGR) of global 12-inch semiconductor capacity is projected to be around 9.8%, with China leading the way in expansion. Notably, China’s CAGR for 12-inch capacity will reach 18.8% by then, and by 2030, its 12-inch capacity will account for 36% of the global total, as highlighted by TrendForce.

Due to U.S. export restrictions, China’s expansion of 12-inch capacity has focused primarily on mature nodes. TrendForce forecasts that China’s share of global mature process capacity (28nm and above) will increase from 22% in 2021 to 49% by 2030, and may even surpass 50%.

Though China’s mature process production had previously focused on 55nm, the continued development of 40nm and 28nm technologies is expected to amplify the impact of new Chinese mature process capacity on the global market in 2025, as indicated by TrendForce.

Meanwhile, TrendForce notes that due to sluggish demand in the consumer electronics market in recent years, Taiwanese foundries have faced oversupply in mature process capacity, resulting in declining foundry prices. Nevertheless, with a potential recovery in market demand, Taiwanese foundries are still expected to maintain a growth trajectory, despite China’s expansion in mature nodes, which is projected to accelerate further in 2026.

Read more

• 4Q24 Global Top 10 Foundries Set New Revenue Record, TSMC Leads in Advanced Process Nodes, Says TrendForce
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(Photo credit: Nexchip)