(Yicai) Oct. 14 -- China is expected to remain the world's top spender on 300-millimeter chip-making equipment until 2027, likely investing more than USD100 billion over the next three years, according to a new report by the global industry association Semiconductor Equipment and Materials International.

Global spending on 300mm chip fabrication equipment will likely reach a record high USD400 billion from next year to 2027, SEMI's third-quarter 300mm Fab Outlook Report showed. This robust investment will be driven by the regionalization of chip fabs and the increasing demand for artificial intelligence chips used in data centers and edge devices.

Global semiconductor equipment sales fell 1.9 percent to USD105.6 billion last year from the previous one, while those in the Chinese mainland surged 28 percent. The mainland bought a record high USD25 billion of chip-making gear in the first half of this year, more than South Korea, Taiwan, and the United States combined.

A total of 109 new fabrication plants are expected to become operational worldwide between 2022 and 2026, with 70 of them in the Chinese mainland, Ju Long, global vice president of SEMI and president of SEMI China, said on Oct. 11.

Due to various factors, including demand growth and supply chain security, investment in the global chip industry has grown in recent years, Ju noted, adding that China, the US, Japan, Southeast Asia, and India are all increasing their efforts in this area. During this investment wave, China’s spending is particularly notable, he pointed out.

China's investment in semiconductor equipment will peak at USD45 billion this year and decrease to USD31 billion by 2027, according to Ju.

SEMICON China, the world's largest annual semiconductor event, has attracted a record 160,000 visitors this year, Ju also noted. Next year's exhibition will add another pavilion, and the number of companies that have signed up has already exceeded this year's record, he added.

Editor: Martin Kadiev