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ETO's updated Supply Chain Explorer now includes 2025 market share data, updated from 2024 data. This tool offers policymakers and researchers an open, interactive way to understand the essential inputs, countries, and companies involved in producing semiconductor devices (i.e. chips), including AI chips. Check out the latest data in the Explorer now, or read CSET's analysis of updated trends below.
The following analysis is also available on the CSET website.
Inside Beijing's Chipmaking Offensive, One Year On
An Analysis of China’s 2025 Market Share in Semiconductor Manufacturing Equipment
In July 2025, CSET published an analysis of China's market share gains between 2019 and 2024 in semiconductor manufacturing equipment. The analysis was based on data from the CSET Emerging Technology Observatory’s (ETO) updated Supply Chain Explorer. One year later, CSET updated the Supply Chain Explorer with 2025 market share data—the latest data available. This piece highlights trends stemming from this update.
Figure 1 shows China’s global market share in 2025 in each major semiconductor manufacturing equipment tool category and how much China’s share changed between 2024 and 2025. China’s market share growth between 2024 and 2025 was concentrated in fabrication tools, driven by ion implanters, deposition, and etch and clean tools. Meanwhile, Chinese firms lost market share across all major assembly, test, and packaging tool categories. Overall, China’s market share is strongest in chemical mechanical planarization (CMP) tools (12.6%), etch and clean tools (10.2%), and deposition tools (9.8%), whereas China’s share of the lithography market remains negligible at 0.2%.
Figure 2 puts China’s gains over the last year into context, showing the five largest year-over-year market share increases in fabrication equipment across all countries. Chinese firms accounted for two of the top five market share gains: China’s market share of ion implanters increased by 2.8 percentage points (pp) and and its share of deposition tools increased by 2.4 pp.
China continues to gain ground steadily in many of the same fabrication tools CSET identified last year, particularly deposition and etch and clean equipment. In addition, ion implanters—a segment in which China lost market share over the previous five years—accounted for China’s largest market share gain in 2025.
- Ion implanters: China’s largest overall percentage point gain over the last year was in the ion implanters segment. In 2024, Chinese firms held about 1% of global market share. That rose to nearly 4% in 2025, driven by China Electronics Technology Group Corporation (CETC). Additionally, Kingstone Semiconductor and Naura Technology Group entered the market for the first time.
- Deposition: Naura, Piotech, and Advanced Micro-Fabrication Equipment (AMEC) continued to raise China’s deposition market share from roughly 7% in 2024 to nearly 10% in 2025. NAURA alone raised China’s share by 1.4 pp.
- Etch and clean: China also gained 1.7 pp in the etch and clean tool market, bringing its global market share in 2025 to 10% from just under 8.5% in 2024.
- Lithography: Shanghai Micro Electronics Equipment (SMEE), one of China's leading domestic lithography toolmakers, again failed to move China's position in this segment. China's global market share in lithography tools remains negligible at less than 0.2%, the lowest level since at least 2019.
Chinese firms lost market share in all major assembly, test, and packaging (ATP) segments, including fabrication tools for advanced packaging.
- Fabrication tools for advanced packaging: China lost market share in fabrication tools for advanced packaging, most significantly in etch and clean tools and deposition tools. In etch and clean tools, China’s market share declined 4.8 pp, from 17.8% in 2024 to 13.0% in 2025. This decline coincided with the rising market shares of KLA in the United States and Tokyo Electron in Japan. In deposition tools, China’s market share declined 1.4 pp, from 6.8% in 2024 to 5.4% in 2025. This decline coincided with the rising market share of Lam Research in the United States.
- Other: In three additional ATP market categories—handlers and probers, assembly inspection tools, and packaging tools—China’s market share declined slightly, between 0.7 and 0.8 pp in each market. In the remaining three ATP markets—dicing tools, bonding tools, and testers—China lost between 0.1 and 0.5 pp.
For more insight into the current state of the advanced chips supply chain, dive into the updated Explorer. As always, we're glad to help - visit our support hub to contact us, book live support with an ETO staff member or access the latest documentation for our tools and data. 🤖