Silicon wafer shipments are expected to decline in the first quarter of 2023 due to a decline in demand for memory and consumer electronics.

According to a report tracked by SEMI, an industry association representing the global electronics industry supply chain, global silicon wafer shipments in the first quarter of 2023 decreased by 9.0% quarter-on-quarter to 3.265 billion square inches, and decreased by 11.3% from 3.679 billion square inches recorded in the same period last year.

“The decline in silicon wafer shipments reflects the weakening semiconductor demand since the beginning of the year, particularly in the memory and consumer electronics segments, which had a significant impact on the shipment decline in the first quarter of 2023,” said Anna-Rika Vuorikari-Antikainen, Chief Commercial Officer at Oakmatic and Chair of SEMI’s Silicon Manufacturers Group (SEMI SMG). However, automotive and industrial applications remain in steady demand,” he said.

The data includes polished silicon wafers such as virgin test and epitaxial silicon wafers, as well as non-polished silicon wafers.

Silicon wafers are a key material for semiconductor manufacturing, making them an essential component of virtually all electronic products, including computers, telecommunications products, and consumer electronics. Precision-machined silicon disks are produced in diameters ranging from 1 inch to 12 inches and are used as substrate materials on which most semiconductor chips are manufactured.

The SEMI Silicon Manufacturing Group (SMG) operates as a Special Interest Group (SIG) within SEMI and is comprised of companies involved in the production of polycrystalline silicon, monocrystalline silicon, and silicon wafers (e.g., as cut, polished, epi, etc.). The purpose of the group is to promote joint efforts on key issues related to the silicon industry and the semiconductor market, as well as to develop market information and statistics.