Silicon Wafer Reclaim Market Analysis By Size (150mm, 200mm, 300mm), By Application (Integrated Circuits, Solar Panels) And Segment Forecasts To 2024

Industry Insights

The global silicon wafer reclaim market size was USD 420 million in 2015 and is expected to witness significant growth over the forecast period primarily owing to significant technological developments leading to a growing efficiency of the reclaimed products. In addition, increasing substitution of the high-cost virgin and test wafers with the low cost reclaimed ones due to cost-cutting measures adopted by the semiconductor industry is expected to drive the market growth over the forecast period.

The global market is characterized by varying yearly growth rates owing to changes in the reclaiming technology coupled with volatility in the economies of reclaim service providers such as Japan and China. In addition, the market is characterized by continuous capacity expansions and a drive towards reclaiming wafers with higher surface area.

Increasing demand of consumer electronic goods such as smartphones, tablets, and laptops is expected to drive the demand for both reclaimed and virgin products which form an inherent component of the integrated circuits used in these devices. In addition, the industry is expected to benefit from the significant increase in solar panel installations, especially in the U.S., Mexico, and China, which is expected to account for increasing demand for the product in the regions.

Product Insights

The silicon wafer reclaim industry is segmented on the basis of product size into 150 mm, 200 mm, 300 mm, and others. The 300mm segment dominated the market, accounting for more than 69.0% of the revenue in 2015 owing to increasing demand for the product by the solar energy industry. In addition, the cost benefits associated with reclaiming the 300mm wafer are expected to drive the growth of the aforementioned segment over the forecast period

The 200mm reclaimed wafer accounted for a significant share of the reclaim market owing to advances in the technology which resulted in decrease in the cost, leading to a growth in demand for the product for use in optoelectronic devices and MEMS circuits. The production of 400mm wafers is expected to grow owing to emergence of technology followed by the subsequent capacity addition.

The manufacturing process of the product involves sorting, stripping, lapping, polishing, and inspecting. The complex manufacturing process is likely to restrict industry growth. However, the technological advancements coupled with increasing investments by the major players to simplify the process of manufacturing is expected to propel the market growth over the forecast period.

Application Insights

The market is also segmented on the basis of applications into integrated circuits, solar panels, and others. The solar panel application segment accounted for a revenue of more than US $150 million in 2015 owing to increasing adoption of solar energy in North America and Asia Pacific regions. The reclaimed wafer doesn’t result in significant changes in the yield and efficiency of the silicon wafer leads to increasing adoption of the product by the solar energy industry.

The integrated circuit application is expected to grow at a significant rate over the forecast period owing to increasing investments of the semiconductor industry for reclaiming the product, decreasing the manufacturing cost of the integrated circuits in a bid to counter the sluggish growth exhibited by the semiconductor industry over the last two years.

Regional Insights

Asia Pacific accounted for more than 74.0% of the overall volume of the reclaimed wafers making it the largest market in 2015. The region is expected to witness a significant rise owing to a rapidly developing electronic industry in China, Thailand, India, South Korea, and Taiwan. Growing disposable income coupled with the increasing population has resulted in rising demand for electronics, and alternative renewable source of energy which will fuel industry growth. In addition, the growth of the industry owing to technological advancement coupled with low labor costs in Taiwan and Japan is expected to drive the market growth over the forecast period.

The market in North America is expected to grow at a CAGR of more than 3.5% over the forecast period owing to significant increases in the solar panel installations in the economies such as the U.S., Mexico, and Canada owing to growing adoption of the environment-friendly solar energy in the region. In addition, the demand is expected to be influenced by growing demand for electronic devices such as smartphones and tablets in the U.S.

Competitive Insights

Key players across the global include silicon Quest International, Nano Silicon Inc, Rockwood Wafer Reclaim, WRS Materials, Silicon Materials Inc., Silicon Valley Microelectronics, Noel Technologies, Pure Wafer PLC, R S Technologies, Nova Electronic Materials, DSK Technologies, PTE Ltd., and Phoenix Silicon International Corporation

The market is characterized by continuous capacity expansions in order to cater to the increasing demand for the product. The companies such as Silicon Materials Inc., are backward integrated to the supply of test and prime wafers to reclaiming the used ones.

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