Within the technology sector, the semiconductor industry is where businesses develop, design, and produce semiconductors, which are essential parts of modern electronic gadgets like computers, televisions, and cell phones.
Semiconductors are becoming more and more crucial as the world grows more reliant on computers and electronics to improve the functionality of gadgets like doorbells and cars. Even though the semiconductor industry is developing and growing quickly, a small number of nations still control the majority of the market.
Top 5 Semiconductor Manufacturing Countries
Here's a look at the top countries with most share in the semiconductor manufacturing in the global world:
Country | Number of Plants (2024) | Advanced Processes Market Share (2023) | Notes |
Taiwan | 80 | 68% | TSMC alone holds 50% of the global market and produces semiconductors for well-known tech firms. |
South Korea | (Not specified in source) | 17% | Represents 17% of the worldwide foundry market and is growing. |
Japan | 103 | (Not specified) | Produces 30% of the equipment and more than 50% of the semiconductor materials. |
United States | 95 | 12% | Has more than 46% of the worldwide semiconductor sales market but only 12% of the manufacturing capacity. |
China | 81 | 8% | In charge of 9% of worldwide chip sales, it is expected to rise to 25% by 2030. |
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Which Country Produces the Most Semiconductors in the World?
The world's unchallenged leader in the production of raw semiconductors is Taiwan, a small East Asian nation whose diplomatic status is contested by China. This is mostly because to the efforts of one business, Taiwan Semiconductor Manufacturing Co. (TSMC), which produces around half of the semiconductors produced worldwide.
In contrast to corporations like Samsung and Intel who make semiconductors for their own products, TSMC produces semiconductors for a wide range of other businesses, including Apple, AMD, Nvidia, Qualcomm, and others. This business model is referred to as the foundry model.
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South Korea: Second Largest Producer
In terms of revenue, Samsung Electronics business, a multinational business based in South Korea, is among the biggest technological corporations globally and one of the biggest producers of semiconductors. Samsung serves as a foundry, creating semiconductors for other businesses, as well as an Integrated Devices Manufacturer (IDM), creating semiconductors for use in its own products.
South Korea’s top export, accounting for 15% of its total exports in 2021, are semiconductors made by Samsung and other firms (including SK Hynix) in the nation’s 70+ fabrication units.
Japan: Third Largest Producer of Semiconductors
The island nation of Japan, one of the most technologically advanced in the world, is home to over 100 semiconductor manufacturing facilities, the majority of which are owned by American, Japanese, or Taiwanese companies.
The Japanese government is trying to increase the nation's capacity to manufacture semiconductors, just as other top semiconductor-producing countries.
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