SMIC Revenue Soars as Chinese Market Sours

By Alan Patterson, EETimes (May 18, 2022)

Semiconductor Manufacturing International Corp. (SMIC) saw sales grow by more than 66% during the first three months of this year as the company warned of weakening demand in China, its home market.

While the Chinese government locked down cities such as Shanghai, SMIC’s headquarters, as part of a zero–Covid strategy, the company was still able to keep its fabs running at 100% utilization. China’s largest chipmaker shifted production to meet strong demand for semiconductors used in electric vehicles and advanced displays while consumer electronics tanked.

Smartphones and other consumer electronics previously accounted for as much as 50% of revenue for chip foundries like SMIC. During the first quarter of this year, that figure fell to less than 30% for the company.

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