Core Viewpoint - The global semiconductor equipment market is projected to grow by 21% year-on-year in Q1 2025, reaching $32.05 billion, despite a 5% quarter-on-quarter decline, indicating resilience in the industry amidst geopolitical uncertainties and supply chain adjustments [1][35]. Regional Summaries China Mainland - In Q1 2025, the revenue from the Chinese mainland reached $10.26 billion, maintaining its position as the largest single market globally, but showing a 14% quarter-on-quarter and 18% year-on-year decline, reflecting a "double drop" trend [4][5]. - The market share of the Chinese mainland in the overall semiconductor equipment sales shrank from 47% in the same period last year to 32% [5]. South Korea - South Korea's semiconductor equipment market saw a robust performance in Q1 2025, with revenues of $7.69 billion, marking a 24% quarter-on-quarter and 48% year-on-year increase, driven by a recovery in memory chips and significant investments from major manufacturers [8][10]. - The Korean government has implemented the "K-Semiconductor Strategy," providing substantial tax incentives and subsidies to boost the industry [9]. Taiwan - Taiwan's semiconductor equipment market experienced a remarkable growth of 203% year-on-year in Q1 2025, reaching $7.09 billion, fueled by expansion plans from leading companies like TSMC and UMC [11][14]. - TSMC's advanced process development and capacity expansion significantly contributed to the surge in equipment demand, with a focus on cutting-edge technologies [11][12]. North America - North America's equipment market revenue reached $2.93 billion in Q1 2025, reflecting a 41% quarter-on-quarter decline but a 55% year-on-year increase, indicating a "pulse-like" expansion pattern influenced by concentrated procurement in the previous quarter [15][16]. - The CHIPS Act's funding and Intel's production ramp-up are expected to support continued growth in the region [16]. Japan - Japan's semiconductor equipment market saw a 20% year-on-year increase in Q1 2025, driven by government subsidies and capacity expansions, despite an 18% quarter-on-quarter decline due to seasonal fluctuations [18][19]. Europe - Europe's semiconductor equipment market faced a significant downturn, with a 54% year-on-year and 11% quarter-on-quarter decline, attributed to ineffective policy execution and reduced capital expenditures [20][21]. - The region's lack of competitive semiconductor manufacturing capabilities has exacerbated its market challenges, leading to a systemic decline in the industry [22][23]. Industry Trends - The semiconductor equipment market is undergoing structural changes, with high-end chip demand driven by AI applications maintaining price resilience, while mature process segments face oversupply issues [37][39]. - The overall industry is expected to enter an expansion phase in the latter half of 2025, supported by increased demand for advanced chips and a recovery in capacity utilization [38][39].