[News] Chinese Advanced Packaging Firms Kicks-Start a New Round of Capacity Expansion - TrendForce

Chinese advanced packaging firms are launching a new round of capacity expansion, reflecting profound changes in the global semiconductor industry landscape. Driven by rapid development in 5G, AI, and... Read original →

The latest round of capacity expansion by Chinese advanced packaging firms signals a fundamental shift in the global semiconductor supply chain. Driven by the rapid growth of 5G, AI, and IoT, demand for high-performance, highly integrated chips is pushing packaging technologies like 2.5D/3D, SiP, and FC-BGA toward mainstream adoption, reshaping the value chain. This move strengthens domestic supply chain resilience while positioning China to capture a larger share of the global market. From a compliance standpoint, geopolitical fragmentation increases operational risks but also opens avenues for policy support and market growth. Competitors are likely to respond with accelerated investment in advanced packaging to secure positions in AI and high-performance computing. Over the next 12–24 months, this trend will drive sustained demand for upstream materials and equipment, reinforcing China’s rising influence in the global packaging ecosystem.