IC Insights forecasts China-produced ICs will represent only 19.4% of its IC market in 2025, a fraction of the Made in China 2025 goal of 70%.

IC Insights will release its new 2021 McClean Report—A Complete Analysis and Forecast of the Integrated Circuit Industry later this month.  A portion of the new report will examine the IC market by region with an analysis and forecast of the China IC market by product type through 2025.

A very clear distinction should be made between the IC market in China and indigenous IC production in China. As IC Insights has oftentimes stated, although China has been the largest consuming country for ICs since 2005, it does not necessarily mean that large increases in IC production within China would immediately follow.  As shown in Figure 1, IC production in China represented 15.9% of its $143.4 billion IC market in 2020, up from 10.2% 10 years earlier in 2010.  Moreover, IC Insights forecasts that this share will increase by 3.5 percentage points from 2020 to 19.4% in 2025 (a 0.7 percentage point per year gain on average).
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