April 14, 2026 – The global polished round wafer industry is undergoing profound structural adjustments, driven by the explosive growth of generative AI, the deepening of semiconductor localization, and the evolving demand for advanced chip manufacturing. As a critical foundational material for semiconductors, polished round wafers—especially large-size and high-purity variants—are becoming the core focus of industry competition, with major manufacturers adjusting their production strategies to seize opportunities in the fast-changing market landscape.
Polished round wafers, characterized by ultra-high flatness, purity, and crystal integrity, serve as the essential substrate for manufacturing integrated circuits, memory chips, power devices, and MEMS. The production process involves sophisticated steps including slicing, lapping, etching, cleaning, and chemical mechanical polishing (CMP), requiring strict control over impurity levels (down to ppb scale) and surface defects (below 0.1 defects/cm²). Currently, the market is dominated by three mainstream sizes: 8-inch (200mm), 12-inch (300mm), and smaller 6-inch (150mm) wafers, with 12-inch products accounting for over 76% of global shipment area due to their higher chip output efficiency and lower marginal costs.
A key trend reshaping the industry is the strategic shift of major manufacturers toward high-end production amid market adjustments. In late March 2026, Japanese wafer giant SUMCO announced that it had obtained approval to postpone the construction of two new advanced silicon wafer factories, instead choosing to upgrade existing production lines to focus on high-end products for 2nm and beyond nodes. The move comes as the semiconductor market transitions from a general capacity expansion phase to a focus on advanced technology, with generative AI driving unprecedented demand for high-quality polished wafers that meet stringent technical requirements, such as double-sided polishing for TSV (Through-Silicon Via) connections.
The global market for polished round wafers is projected to maintain steady growth, with data showing the market size reached approximately USD 156 billion in 2024 and is expected to exceed USD 230 billion by 2030, representing a CAGR of 6.8%. Asia-Pacific remains the dominant regional market, with China, Taiwan China, South Korea, and Japan collectively accounting for over 70% of global demand. China, in particular, has emerged as a key growth engine, consuming 38.5% of global silicon polished wafers in 2024, driven by continuous capacity expansion of local fabs such as SMIC, Yangtze Memory Technologies, and CXMT.
Technological innovation and localization are dual drivers of industry development. In China, domestic enterprises including Shanghai Silicon Industry Group, TCL Zhonghuan, and Leon Micro have accelerated their R&D and production of 12-inch polished wafers, raising the self-sufficiency rate from less than 5% in 2021 to 22.3% in 2024. Meanwhile, breakthroughs in new materials are opening new horizons: in April 2026, a joint team from the National University of Defense Technology and the Institute of Metal Research, Chinese Academy of Sciences, announced the world’s first wafer-scale mass production of high-performance P-type two-dimensional semiconductor material WSi₂N₄, which could reduce reliance on EUV lithography and drive demand for specialized polished substrates. Internationally, leading manufacturers are focusing on optimizing CMP processes and developing ultra-high-purity wafers (with metal impurity levels below 1×10¹⁰ atoms/cm³) to meet the needs of advanced logic and memory chips.
Industry insiders note that the future of the polished round wafer industry will focus on three key directions: large-size upgrading, advanced material development, and supply chain localization. While 12-inch wafers will remain the mainstream, research on 18-inch (450mm) wafers is accelerating, aiming to further improve production efficiency. The rise of third-generation semiconductors, such as SiC and GaN, is also driving growth in the compound semiconductor polished substrate market, which is projected to grow at a CAGR of 25.6% from 2024 to 2030, reaching USD 48.7 billion. Additionally, the integration of IoT technology into production processes is enabling real-time monitoring of wafer quality, reducing defects and improving production efficiency.
As the semiconductor industry enters a new era of technological iteration, polished round wafer manufacturers face both opportunities and challenges. While the AI boom and localization drives provide strong growth momentum, issues such as high equipment dependence, technical gaps in high-end products, and periodic supply-demand imbalances remain key concerns. Moving forward, increased R&D investment, strengthened industrial collaboration, and accelerated domestic substitution of key equipment and materials will be crucial for the industry to achieve high-quality development and meet the evolving needs of the global semiconductor ecosystem.