October 18, 2024 /SemiMedia/ — TrendForce reports that the global foundry industry is projected to grow 20% in 2025, led by strong demand for high-performance computing (HPC) chips. TSMC is expected to maintain its leading position, with other foundries seeing annual growth of nearly 12%.

AI applications will drive the need for advanced processes, sustaining high utilization rates. TrendForce notes that by 2024, the industry should recover from a prolonged inventory correction, with AI server chips playing a key role.

The report pointed out that Wafer utilization is set to improve, reaching 75-85% by the end of 2025. Mature processes (28nm and above) are recovering more slowly, with utilization expected to reach about 80%.

Capital expenditures are also set to rise, led by TSMC’s 2nm process entering mass production. Other major players, including SMIC and Hua Hong Semiconductor, plan new facilities.

By 2027, Mainland China is expected to lead in mature process capacity with 47%, while Taiwan will dominate advanced processes, holding 54% of the global share.