Global semi sales drop 14.5% for first half of 2019

Global sales of semiconductors were down by 14.5% for the first half of the year compared to the same six months of 2018, according to the Semiconductor Industry Association. 

For the Americas, the numbers were worse, with a decline of 29.5%.

There was a small increase in sales for the second quarter of 0.3% over the first quarter globally, but the second quarter was down by 16.8% when compared to the same period in 2018.

SIA uses monthly sales compiled by the World Semiconductor Trade Statistics group to reach the three-month moving average.

The year over year decreases applied to all regions of the globe and semiconductor product categories, continuing the year’s downward trend that many CEOs have noted in recent earnings calls. Some semiconductor CEOs have said they don’t see the bottom yet, while others are predicting an improvement in 2020.

“At the midpoint of 2019, the global semiconductor market remains in a period of decreased sales,” said John Neuffer, SIA CEO. “One silver lining was that sales during the second quarter of 2019 narrowly outpaces sales during the first quarter.”

By the end of June, sales were down for the six months compared to 2018 by nearly 30% for the Americas. In other regions, the declines were less severe: Europe was down 10.9%; Japan was down 12.8%, Asia Pacific was down 13.7% and China was down 13.9%.

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