On May 5, the American Semiconductor Industry Association (SIA) released the 2020 version of the Factbook, and the report showed the strength and prospects of the US semiconductor industry with more detailed data. Jiwei Network summarizes it into five aspects.
1. Total global share. In the 1980s, the global market share of the U.S. semiconductor industry suffered a sharp decline due to the impact of Japan. But by 1997, the United States regained its leadership position with more than 50 percent of the global market share, a position that continues to this day. Today (2021), the total global market share of U.S. semiconductor companies is 46%, the highest in the world, South Korea is 21%, Europe and Japan are 9%, Taiwan is 8%, and Chinese mainland is 7%. Sales at the U.S.-based semiconductor company grew from $71.1 billion in 2001 to $257.5 billion in 2021, a CAGR of 6.65 percent.
Second, the manufacturing link. Most of the semiconductor manufacturing process in the United States is done by American companies. The data shows that in 2021, 79.8% of the semiconductor wafer manufacturing capacity in the United States will come from COMPANIES headquartered in the United States. The Asia-Pacific-based semiconductor company accounts for 9.5% of the U.S. domestic production capacity, as shown in the following chart:
Among them, the U.S.-based semiconductor company put 43% of front-end manufacturing on its home, but the total share of U.S. semiconductor manufacturing in the world has fallen by more than 10% in the past 8 years.
U.S.-based semiconductor companies share the global regional share
Third, exports. In 2021, U.S. semiconductor exports totaled $62 billion, making it the fifth-highest U.S. exports after refined oil, aircraft, crude oil, and natural gas. Of all electronics exports, semiconductors account for the largest share of U.S. exports.
Fourth, research and development and expenditure. In 2021, R&D and capital expenditures by U.S. semiconductor companies, including fabless, totaled $90.6 billion. Investment in research and development totaled $50.2 billion, with a compound annual growth rate of about 5.9% over the past two decades. The total investment amortized to each employee (measured by total investment in research and development, new plant and equipment) grew to a record $206,000. In terms of R&D spending as a percentage of sales (18 percent), the U.S. semiconductor industry is second only to the pharmaceutical and biotechnology industries, which is far ahead of Chinese mainland 7.6 percent and Taiwan's 11 percent.
Fifth, employment and productivity. According to the SIA report, there are 277,000 people directly involved in the semiconductor industry in the United States, but each semiconductor personnel can pull 5.7 other jobs. This means that the semiconductor industry has created 1.6 million jobs in the United States. (Proofreading/Aaron)