Taiwan media said that the semiconductor industry three indicators show edited signs of recovery, the technology industry demand recovery is expected to benefit South Korea,” such as export-oriented economies, which in turn led to a supply chain recovery across Asia. Taiwan’s Economic Daily reported on December 20th that semiconductor sales are a key indicator of the global technology industry, as semiconductors are needed, from smartphones to laptops, Televisions and cars.
The need for momentum, if sustained recovery, will be particularly helpful to South Korea. South Korea’s economic growth this year produced its worst “report card” since the financial crisis.
The report cites an analysis by Bloomberg that show the three indicators of stronger demand in the global semiconductor industry: expanded capacity, chip prices and chip inventory.
Expansion of capacity is one of the most obvious leading indicators of chip output. According to the International Organization for Semiconductor Equipment and Materials (SEMI), the number of chip manufacturing deviceshipments reached its highest level since December. The latest data on semiconductor production equipment shipments in North America supports the view that semiconductor sales will continue to rise.
The price of chips has not gone up yet. But the price of memory chips surveyed by inSpectrum, a market research firm, shows that the price of memory chips has now stopped falling back to stability. Mike Howard, head of research at Yole Development, a French research firm, also said that after a severe oversupply in the market, “stocks are starting to fall.” “
South Korea supplies more than two-thirds of the world’s DRAM memory chips, and semiconductor inventories piled up in its domestic warehouses hit a peak in July. According to the South Korean government’s statistics bureau, South Korea’s chip inventory fell 16 percent in September from August, the biggest drop since June 2017, while global chip sales rose 3.4 percent over the same period, the biggest increase since August 2017.
“I think it’s bottoming out and now it’s starting to rebound again,” said Sean Roach, chief economist for Asia Pacific. “