According to data released by SEMI, China's semiconductor manufacturing equipment purchases in the first quarter were 5.96 billion U.S. dollars, an increase of 70% year-on-year, second only to South Korea's 7.31 billion U.S. dollars. As the shortage of cores continues to intensify competition in the global semiconductor industry, China's efforts to purchase equipment are gradually increasing.

BusinessKorea pointed out that Chinese companies are aggressively buying semiconductor manufacturing equipment from all over the world.

The sanctions imposed by the United States against Chinese companies cannot curb China's determination to develop the semiconductor industry. Even if China cannot produce cutting-edge semiconductors, it is trying to take priority in areas such as automotive semiconductors where supply shortages are increasing.

Korean media pointed out that Chinese semiconductor companies are currently purchasing equipment needed for chip production lines in advance. An industry insider said, "Chinese semiconductor companies have purchased five to six additional equipment in addition to the equipment they really need." Another source said, "Some companies have doubled their orders."

In the first quarter of this year, China became the largest buyer of semiconductor manufacturing equipment in the United States and Japan. 32% of Lam Research's sales in the first quarter came from Chinese companies. Although this figure includes the sales of non-Chinese companies such as Samsung Electronics and SK Hynix's factories in China, industry experts believe that equipment purchases by Chinese local companies are also soaring. It is reported that in order to minimize the impact of US sanctions, SMIC also contacted South Korean semiconductor equipment manufacturers in particular.

Chip manufacturing has high requirements for front-end equipment, but 60% to 70% of this market is dominated by American and Japanese companies. From another level, the US ban is also generating demand for domestically-made equipment.

In addition, Chinese companies are rushing to buy semiconductor equipment, and chip makers such as Samsung Electronics and SK Hynix are continuing to pay attention. Two South Korean companies are planning to expand production and build new fabs. Ensuring sufficient semiconductor manufacturing equipment will become the key.