Association said semiconductor industry American, that global sales of chips exceeded half a trillion dollars for the first time, as companies boosted production to meet the accumulated demand from the epidemic.
Industry sales in 2021 amounted to $555.9 billion, an increase of 26.2 percent year-on-year. Sales came from more than 1.15 trillion units of semiconductors sold last year.
Association President John Neuffer said: “In 2021, amid an ongoing global chip shortage, semiconductor companies dramatically increased production to unprecedented levels to meet ever-increasing demand, resulting in record sales.”
“The demand for semiconductor production is expected to rise significantly in the coming years as chips become more integrated into the core technologies now and in the future,” he added.
The global chip crisis has hit industries in all areas from consumer electronics to automakers, and companies are unable to handle product demand and shortages.
It also led to governments and lawmakers around the world scrambling to secure chip supplies and investing to make semiconductor manufacturing part of their national industry.
Last year, US President Joe Biden allocated $50 billion to semiconductor manufacturing and research as part of a $2 trillion economic stimulus package. There is a bill known as the CHIPS Act in the United States, which aims to provide incentives to enable advanced research and development and secure supply chains, according to “CNBC” and seen by “Al Arabiya.net”.
Meanwhile, the European Commission, the EU’s executive arm, this month announced a new European chip law, which will bring 15 billion euros ($17.11 billion) in additional public and private investment up to 2030.
China accounted for the lion’s share of sales of $192.5 billion in 2021, up 27.1 percent year on year.
China has focused on boosting its domestic chip industry over the past few years amid geopolitical tensions with the United States.
Beijing has made increasing self-sufficiency in semiconductors a priority, even though China remains highly dependent on foreign technology.
The Americas market witnessed the largest increase in sales by 27.4% in 2021. Europe followed with a growth of 27.3%.
