Global semiconductor foundry revenue declines 5.4% in Q1 2025, supported by tariffs and China subsidies, reports TrendForce

The global foundry industry generated US$36.4 billion in revenue in Q1 2025, a 5.4% decline from the previous quarter, according to TrendForce. The downturn was moderated by rush orders ahead of the U.S. reciprocal tariff exemption deadline and sustained demand from China’s 2024 consumer subsidy program, which offset typical seasonal declines.
TSMC held a 67.6% market share with revenue of $25.5 billion, down 5% quarter-on-quarter. Seasonal declines in smartphone wafer shipments were partially offset by strong AI HPC demand and urgent tariff-related TV orders. Samsung Foundry’s revenue fell 11.3% to $2.89 billion, affected by limited benefits from China’s subsidies and U.S. restrictions on advanced nodes, reducing its market share to 7.7%.
SMIC saw a 1.8% revenue increase to $2.25 billion, ranking third, driven by early stocking for U.S. tariffs and Chinese subsidies, which mitigated average selling price (ASP) declines. UMC, in fourth place, recorded a 5.8% revenue drop to $1.76 billion due to annual pricing adjustments, though early customer stocking stabilized wafer shipments and capacity utilization.
GlobalFoundries’ revenue declined 13.9% to $1.58 billion, impacted by seasonal weakness and lack of exposure to China’s subsidy program, slightly reducing its market share. HuaHong Group, in sixth place, posted $1.01 billion in revenue,...