Applied Materials projects China revenue to grow in 2026 despite US curbs - Nikkei Asia

Applied Materials, a leading U.S. semiconductor equipment supplier, reported record quarterly revenue of $9.12 billion, driven by strong demand for chips used in AI infrastructure. Despite ongoing U.S... Read original →

Applied Materials’ robust performance underscores the transformative impact of AI-driven chip demand on the global semiconductor equipment landscape. Despite intensified U.S. export controls on China, the domestic semiconductor sector’s rapid advancement creates sustained growth opportunities for global vendors. Technologically, AI infrastructure is fueling demand for advanced manufacturing tools, particularly at sub-7nm nodes, prompting Chinese manufacturers to accelerate their R&D and production capabilities. From a compliance standpoint, companies face mounting pressure from supply chain fragmentation and technology restrictions, yet localization strategies are emerging as critical risk mitigation tools. Competitors such as ASML and KLA may intensify partnerships or establish local entities to secure market share. Over the next 12–24 months, the convergence of AI and semiconductor technologies will accelerate equipment upgrades, with Taiwan, China and Singapore emerging as pivotal manufacturing hubs amid ongoing global supply chain realignment.