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North America has established itself as the dominant regional market for load port modules and is expected to hold the largest share of 37.18% in 2024. Major semiconductor manufacturers from the U.S. and Canada have been setting up advanced chip fabrication facilities in the region for decades. With a strong presence of companies like Intel, Micron, Texas Instruments and GlobalFoundries, North America accounts for over 30% of the worldwide wafer fab capacity. The sustained capital expenditure on building new fabs and upgrading existing fabs has created steady demand for load port modules in North America.
Furthermore, the major load port module suppliers also have their manufacturing and R&D centers located in North America in close proximity to their biggest customers. For instance, companies like Entegris, Brooks Automation and Hirata Corporation manufacture over 50% of their total load port module production within North America to serve the local fab requirements with reduced lead times. This localized manufacturing strategy has helped them gain significant cost advantages over Asian competitors in the region. Access to experienced engineering talent pool and support for localized customization requests from North American chipmakers has further strengthened their position.
China has emerged as the fastest growing regional market for load port modules globally over the past 5 years and is expected to grow with the CAGR of 11.8% in 2024. Ambitious capacity expansion plans of leading Chinese foundries like SMIC and Hua Hong along with growing investments from memory makers like Yangtze Memory and ChangXin have fuelled demand. The Chinese government's initiatives to cultivate a self-reliant semiconductor industry and reduce reliance on U.S. chip imports have accelerated this growth. Local load port module manufacturers are also strengthening their design and manufacturing capabilities through technical partnerships. Coupled with relatively lower operating costs compared to mature markets, Chinese suppliers have been capturing a considerable share of the domestic market. Sustained capacity additions in years to come are expected to propel China to one of the top regional markets for load port modules worldwide.
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