Integrated Gas System in the Semiconductor Market

Increasing growth of the semiconductor market and growing focus on sustainability in manufacturing industries are driving the market growth

Market CAGR for integrated gas systems in semiconductor is being driven by the increasing growth of the semiconductor market and growing focus on sustainability in manufacturing industries. The global growth of the semiconductor market significantly impacts the demand for integrated gas systems. According to the Semiconductor Industry Association, the United States recorded semiconductor exports of $61.1 billion in 2022. Intel, a leading semiconductor manufacturer, announced a $20 billion investment in two new semiconductor chip factories in Ohio in January 2023.

In 2022, China witnessed the establishment of 433 new companies for chip design and production, with total sales from Chinese semiconductor companies reaching $573 billion. The Indian government has unveiled plans to enhance semiconductor manufacturing capacity, launching the 'Semicon' program with an investment of Rs.76,000 crore. As the demand for semiconductors rises across various industries, semiconductor manufacturers are making investments in advanced equipment, including integrated gas systems, to scale production and enhance efficiency.

There is a growing focus on sustainability in manufacturing industries, including semiconductors. Integrated gas systems designed for energy efficiency, waste reduction, and environmentally friendly practices align with the increasing trend toward sustainability. As a result, it is anticipated that throughout the projection period, demand for Integrated Gas Systems in the Semiconductor Market will increase due to the Increasing growth of the semiconductor market and growing focus on sustainability in manufacturing industries. Thus, driving the Integrated Gas System in Semiconductor Market revenue.

The Global Integrated Gas System in Semiconductor Market Industry is experiencing a surge in demand driven by the rapid advancement of semiconductor technologies. As industries increasingly adopt cutting-edge applications such as artificial intelligence and 5G, the need for high-purity gases in semiconductor manufacturing becomes paramount. This trend is expected to contribute to the market's growth, with projections indicating a market value of 0.52 USD Billion in 2024. The integration of sophisticated gas systems ensures that manufacturers can meet the stringent requirements for purity and consistency, thereby enhancing the overall efficiency of semiconductor production.

By region, the study provides market insights into North America, Europe, Asia-Pacific, and Rest of the World. The anticipated expansion of the Integrated Gas System in the Semiconductor market in North America can be attributed to several key factors. The United States stands as a pivotal center for semiconductor manufacturing, boasting numerous semiconductor fabrication plants (fabs) dispersed throughout the country. Recognizing the strategic importance of domestic chip manufacturing, the U.S. government has advocated for substantial funding of USD 50 billion. TSMC, a leading semiconductor manufacturer, is considering substantial additional investments in chip factories located in Arizona, exceeding initial estimates.

Furthermore, TSMC is anticipated to compete with Intel Corp and Samsung Electronics Co Ltd for U.S. government subsidies to facilitate the construction of these plants. The influential presence of key semiconductor manufacturers in North America drives the demand for Integrated Gas Systems, essential for supporting their fabrication processes.

Further, the major countries studied in the market report are the US, Canada, Germany, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 2: GLOBAL INTEGRATED GAS SYSTEM IN SEMICONDUCTOR MARKET SHARE BY REGION 2022 (USD Billion)

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Europe Integrated Gas System in Semiconductor Market accounts for the second-largest market share as Europe hosts numerous semiconductor manufacturing facilities and research institutions at the forefront of advancing semiconductor devices. Notably, semiconductor sales in Europe for December reached US$ 4.442 billion, reflecting a 3.3% increase compared to the previous year. The key contributors to this growth were the total MOS micro-component and total analog product categories. The region's strategic emphasis on bolstering domestic semiconductor production, coupled with a concerted effort to reduce dependence on imports, has fueled a surge in manufacturing activities.

This heightened manufacturing activity, in turn, propels the demand for cutting-edge equipment and systems, such as Integrated Gas Systems. Further, the German Integrated Gas System in Semiconductor Market held the largest market share, and the UK Integrated Gas System in Semiconductor Market was the fastest-growing market in the European region

The Asia-Pacific Integrated Gas System in Semiconductor Market is expected to grow at the fastest CAGR from 2023 to 2032. Japan, with a rich history of technological innovation in the semiconductor sector, currently contributes 9% of the global semiconductor production, as reported by the Japanese Electronics and Information Technology Industries Association (JEITA) in the World Production Forecast for Semiconductors. Renowned for their commitment to research and development, Japanese semiconductor companies play a pivotal role in the industry.

As the semiconductor landscape transforms with the introduction of new manufacturing processes, the adoption of advanced gas systems becomes essential, thereby propelling market growth. Moreover, China’s Integrated Gas System in Semiconductor Market held the largest market share, and the Indian Integrated Gas System in Semiconductor Market was the fastest-growing market in the Asia-Pacific region.

Leading market players are investing heavily in research and development to expand their product lines, which will help the Integrated Gas System in the Semiconductor market, grow even more. Market participants are also undertaking a variety of strategic activities to expand their global footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, Integrated Gas Systems in the Semiconductor industry must offer cost-effective items.

Manufacturing locally to minimize operational costs is one of the key business tactics used by manufacturers in the global Integrated Gas System in the Semiconductor industry to benefit clients and increase the market sector. In recent years, the Integrated Gas System in the Semiconductor industry has offered some of the most significant advantages to the power grid and energy infrastructure. Major players in the Integrated Gas System in the Semiconductor Market, including Fujikin, CKD, and Ichor Systems are attempting to increase market demand by investing in research and development operations.

Fujikin is a leading provider of specialized valve equipment and ultra-precision flow control systems. The company is at the forefront of delivering cutting-edge technology to various industries, including semiconductor, space development, nuclear power, petrochemical, medical, and energy sectors. Fujikin's core business involves designing, manufacturing, and selling valve products. Additionally, the company offers Mass Flow Controllers and engages in online sales to cater to diverse needs in extreme conditions across different fields on land, sea, and in the air.

Ichor is a leading designer and manufacturer of fluid delivery subsystems and components tailored for semiconductor equipment manufacturers. The company specializes in providing gas delivery subsystems, chemical delivery subsystems, as well as precision machining and weldments. Its gas delivery subsystems are designed to monitor and control precise quantities of specialized gases crucial in semiconductor manufacturing processes. Additionally, Ichor's chemical delivery systems and subsystems are responsible for blending and dispensing reactive liquid chemistries used in various semiconductor manufacturing processes such as chemical-mechanical planarization, electroplating, and cleaning. Ichor caters to clients in the semiconductor, aerospace, medical, and general industrial sectors.

The company operates manufacturing and administrative facilities across the US, Mexico, the UK, Korea, Singapore, and Malaysia, with its headquarters located in Fremont, California, the US.