This year, China's major electronic components industry growth rate to improve

Securities institutions SW days ago issued a research report pointed out that the global semiconductor industry boom continues to improve, the slower growth rate of China's main electronic components industry for 05 years, 06 years will increase again.

The report quoted market research firm SIA statistics analysis believes that in 2005 the annual total sales of $227 billion 484 million semiconductor, an increase of 6.8%.

With mobile phone, digital camera, MP3 player and other consumer electronic products as the main thrust, and the personal computer also continued strong demand. Forecast 2006 global semiconductor sales growth of 7.9%, $245 billion; the semiconductor industry is still optimistic about the prospects of the first quarter of 2006, and sales of the first 1 quarters of the gap, is expected within plus or minus 1%, in addition, the overall economic situation is good, the excess inventory should not cause too much of a problem, but the industry also has between capacity and demand balance. At the same time, the Institute estimated that in 2006 the global semiconductor market growth rate will be more than 10% growth rate.

SW said that in the face of the global semiconductor industry slowdown, China's IT industry slowdown in the overall environment, China's IC industry has maintained a steady and rapid growth momentum. According to the China Semiconductor Industry Association statistics, the annual total domestic IC industry output was 26 billion 110 million, an increase of 19%, the industry achieved a total sales revenue of $70 billion 210 million, an increase of 28.8%. From the point of view of the breakdown of the industry, the global chip foundry market downturn, the domestic chip manufacturing sales growth fell sharply, its growth rate dropped sharply from 190% in 2004 to $28.5%. On the scale, the domestic chip manufacturing industry sales revenue exceeded 20 billion yuan, reaching $23 billion 289 million.

IC design industry continued to maintain rapid growth momentum in 2005. In the industrial scale, the annual domestic IC design industry sales revenue growth rate reached 52.5%, the scale for the first time exceeded 10 billion yuan, reaching 12 billion 430 million yuan; packaging and testing industry, its development in recent years although unlike IC chip manufacturing and design industry as rapidly, but also has maintained a steady growth momentum. 2005, with the expansion of the scale of production of a number of enterprises within the industry as well as the completion of a number of new projects put into operation, the industry's annual sales revenue grew 22.1%, the scale of $34 billion 491 million.

SW believes that the previous China electronics manufacturing will change the over reliance on simple labor development model, and gradually and more advanced human resources together, and gradually reflected in technology, even in the management of the brand marketing advantage. China's manufacturing sector will shift from labor-intensive industries to technology and capital intensive industries, from processing industries to integrated production of independent brands. Optimistic about the semiconductor industry in the long term, cautiously optimistic about the company in the field of TFT, these two areas is the focus of growth areas. The "Outline" of science and technology development planning supporting policies related to income tax, customs duties, value-added and supporting financial and other aspects of environmental measures, reflecting the state in terms of industrial development tend to be more innovative companies, software, chip design, communication equipment companies will benefit from the policy.