June 9, 2026 – HANGZHOU — The global semiconductor industry is witnessing a pivotal shift in round wafer (circular wafer) technology, as leading players advance large-size, high-purity, and wide-bandgap solutions to meet booming demand for AI chips, electric vehicles (EVs), and industrial electronics. This momentum is reshaping supply chains, driving cost efficiency, and accelerating domestic substitution across key markets.
300mm SiC & GaN Round Wafers Enter Mass Production
In a landmark development, Wolfspeed, a global leader in silicon carbide (SiC) technology, announced the world’s first mass-producible 300mm (12-inch) single-crystal SiC round wafer in early 2026. The larger diameter boosts chip yield by over 40% compared to traditional 200mm wafers, significantly reducing per-unit costs for high-power devices used in AI data centers, EV powertrains, and renewable energy systems.
Parallel progress in gallium nitride (GaN) technology has emerged from Toyota Gosei, which successfully developed an 8-inch (200mm) GaN single-crystal round wafer for vertical transistors. The innovation enables higher-density power devices for 5G infrastructure and fast-charging systems, addressing long-standing challenges in manufacturing large-diameter GaN wafers beyond 4 inches.
Silicon Wafer Supply Expansion & Pricing Trends
Global silicon wafer manufacturers are ramping up 300mm capacity to meet AI-driven demand. GlobalWafers, a key supplier, increased its U.S. investment to **$7.5 billion** to launch a new 300mm fab in Texas—America’s first in 20 years—supported by $406 million in CHIPS Act funding. The facility targets 600+ jobs by 2028, strengthening Western supply chain resilience.
Market dynamics shifted in Q2 2026 as major suppliers announced 5–8% price hikes for 300mm silicon wafers, citing tight capacity, rising raw material costs, and strong demand from advanced node foundries. High-end wafers for AI and automotive applications saw even steeper increases (18–22%), reflecting a supply deficit that is expected to persist through 2027.
China’s 70% Localization Goal Reshapes Global Landscape
China has set an aggressive target to achieve 70% domestic supply of 12-inch silicon round wafers by late 2026, up from 28% in 2025. This push aims to reduce reliance on Japanese (Shin-Etsu, SUMCO) and Taiwanese suppliers, which currently control over 60% of global capacity. Domestic players like Shanghai Simgui and JCET Group are accelerating 300mm fabs, supported by government subsidies and partnerships with chip designers.
The localization drive comes amid global supply chain tensions, following restrictions on Dutch semiconductor equipment exports and U.S. “50% penetration rules” limiting Chinese access to advanced materials. As a result, China’s share of global wafer production is projected to rise to 32% in 2026, the fastest growth rate worldwide.
Future Outlook: Larger Sizes & Alternative Shapes
Industry analysts predict that 300mm will become the mainstream for high-end applications by 2027, while R&D for 450mm wafers progresses for next-gen AI chips. Notably, Lam Research and Mitsubishi Materials are exploring square panels as an alternative to round wafers for advanced packaging, offering 20–30% higher chip utilization and lower waste. However, round wafers will remain dominant for most semiconductor manufacturing through the decade due to established equipment compatibility and process maturity.
As the foundation of all semiconductor devices, round wafers are critical to global tech competitiveness. The 2026 breakthroughs in SiC/GaN large-size wafers, silicon supply expansion, and China’s localization push are collectively driving a more resilient, efficient, and innovative semiconductor ecosystem worldwide.