Semiconductor Back-End Equipment Market - Forecasts from 2025 to 2030
Description
The semiconductor back-end equipment market is expected to grow at a CAGR of 6.89%, reaching a market size of USD 15.769 billion in 2030 from USD 11.301 billion in 2025.
The global semiconductor back-end equipment market is poised for sustained expansion, driven principally by the rising demand for compact, high-performance electronic devices and the increasing complexity of integrated circuit (IC) designs. As consumer and industrial products, from smartphones and laptops to digital imaging systems and advanced automation equipment, require greater functionality in smaller form factors, semiconductor manufacturers are accelerating production and investing in sophisticated back-end technologies. Back-end processing, comprising essential stages such as testing, assembly, packaging, bonding, and metrology, follows the front-end wafer fabrication process and plays a crucial role in ensuring chip reliability, durability, and performance. Each of these processes depends on highly specialized equipment capable of operating at extreme levels of precision, creating a sustained need for advanced manufacturing solutions across global semiconductor foundries.
Strong momentum in electronics manufacturing further underscores this market’s expansion. According to the National Institute of Standards and Technology, the U.S. manufacturing sector contributed approximately US$2.3 trillion to GDP in 2023, with computer and electronic products accounting for nearly US$299 billion. As demand surges across multiple industries, major technology providers such as Canon U.S.A., Mindteck, and Kanematsu Corporation continue to support semiconductor producers with integrated solutions spanning IoT, embedded systems, enterprise applications, and electronic components. Rising global semiconductor consumption is a prominent driver, supported by government-backed initiatives to localize chip production, reduce supply chain dependencies, and attract investment from major manufacturers. The Semiconductor Industry Association reported global semiconductor sales of US$627.6 billion in 2024, up 19.1% from the previous year, an expansion that directly fuels demand for back-end equipment, including wafer processing systems, advanced packaging solutions, and semiconductor bonding technologies.
Technological advancements, particularly in assembly and packaging, are reshaping market dynamics. Growing adoption of system-in-package, fan-out wafer-level packaging, and other advanced methods reflects industry priorities for smaller, faster, and more efficient semiconductors. The increasing deployment of semiconductor chips in electronics, automotive systems, robotics, and industrial automation is reinforcing the need for next-generation packaging and bonding capabilities. Meanwhile, semiconductor packaging and assembly equipment demand continues to rise in line with global chip sales, which reached US$46.6 billion in October 2023 alone.
Geographically, Asia Pacific remains the most dynamic growth region, led by China, Japan, South Korea, and Taiwan. Strong government investment, a rapidly expanding foundry ecosystem, and accelerated 5G infrastructure deployment evidenced by China’s 4.04 million 5G base stations as of August 2024, are propelling regional market dominance. China’s strategic US$150 billion semiconductor agenda underscores its ambition to strengthen domestic IC production and capture greater value within the global technology supply chain.
Ongoing industry innovation further validates market strength, with 2025 witnessing several high-profile product launches, including Applied Materials’ Kinex™ hybrid bonding system, ASML’s TWINSCAN XT:260 advanced packaging scanner, Lam Research’s VECTOR TEOS 3D deposition tool, and ASMPT’s full 2.5D/3D-IC and AI/HPC packaging portfolio. Collectively, these advancements signal continued transformation of the semiconductor back-end equipment landscape and an accelerating shift toward more integrated and highly advanced chip manufacturing technologies.
Semiconductor Back-End Equipment Market Segmentation:
By Procedure
Wafer Testing
Bonding
Dicing
Metrology
Assembly Packaging
By Geography
Americas
US
Europe, the Middle East, and Africa
Germany
Netherland
Others
Asia Pacific
China
Japan
Taiwan
South Korea
Others
The global semiconductor back-end equipment market is poised for sustained expansion, driven principally by the rising demand for compact, high-performance electronic devices and the increasing complexity of integrated circuit (IC) designs. As consumer and industrial products, from smartphones and laptops to digital imaging systems and advanced automation equipment, require greater functionality in smaller form factors, semiconductor manufacturers are accelerating production and investing in sophisticated back-end technologies. Back-end processing, comprising essential stages such as testing, assembly, packaging, bonding, and metrology, follows the front-end wafer fabrication process and plays a crucial role in ensuring chip reliability, durability, and performance. Each of these processes depends on highly specialized equipment capable of operating at extreme levels of precision, creating a sustained need for advanced manufacturing solutions across global semiconductor foundries.
Strong momentum in electronics manufacturing further underscores this market’s expansion. According to the National Institute of Standards and Technology, the U.S. manufacturing sector contributed approximately US$2.3 trillion to GDP in 2023, with computer and electronic products accounting for nearly US$299 billion. As demand surges across multiple industries, major technology providers such as Canon U.S.A., Mindteck, and Kanematsu Corporation continue to support semiconductor producers with integrated solutions spanning IoT, embedded systems, enterprise applications, and electronic components. Rising global semiconductor consumption is a prominent driver, supported by government-backed initiatives to localize chip production, reduce supply chain dependencies, and attract investment from major manufacturers. The Semiconductor Industry Association reported global semiconductor sales of US$627.6 billion in 2024, up 19.1% from the previous year, an expansion that directly fuels demand for back-end equipment, including wafer processing systems, advanced packaging solutions, and semiconductor bonding technologies.
Technological advancements, particularly in assembly and packaging, are reshaping market dynamics. Growing adoption of system-in-package, fan-out wafer-level packaging, and other advanced methods reflects industry priorities for smaller, faster, and more efficient semiconductors. The increasing deployment of semiconductor chips in electronics, automotive systems, robotics, and industrial automation is reinforcing the need for next-generation packaging and bonding capabilities. Meanwhile, semiconductor packaging and assembly equipment demand continues to rise in line with global chip sales, which reached US$46.6 billion in October 2023 alone.
Geographically, Asia Pacific remains the most dynamic growth region, led by China, Japan, South Korea, and Taiwan. Strong government investment, a rapidly expanding foundry ecosystem, and accelerated 5G infrastructure deployment evidenced by China’s 4.04 million 5G base stations as of August 2024, are propelling regional market dominance. China’s strategic US$150 billion semiconductor agenda underscores its ambition to strengthen domestic IC production and capture greater value within the global technology supply chain.
Ongoing industry innovation further validates market strength, with 2025 witnessing several high-profile product launches, including Applied Materials’ Kinex™ hybrid bonding system, ASML’s TWINSCAN XT:260 advanced packaging scanner, Lam Research’s VECTOR TEOS 3D deposition tool, and ASMPT’s full 2.5D/3D-IC and AI/HPC packaging portfolio. Collectively, these advancements signal continued transformation of the semiconductor back-end equipment landscape and an accelerating shift toward more integrated and highly advanced chip manufacturing technologies.
Semiconductor Back-End Equipment Market Segmentation:
By Procedure
Wafer Testing
Bonding
Dicing
Metrology
Assembly Packaging
By Geography
Americas
US
Europe, the Middle East, and Africa
Germany
Netherland
Others
Asia Pacific
China
Japan
Taiwan
South Korea
Others
Table of Contents
145 Pages
- 1. Introduction
- 1.1. Market Overview
- 1.2. Market Definition
- 1.3. Scope of the Study
- 1.4. Market Segmentation
- 1.5. Currency
- 1.6. Assumptions
- 1.7. Base and Forecast Years Timeline
- 1.8. Key Benefits for the Stakeholders
- 2. Research Methodology
- 2.1. Research Design
- 2.2. Research Process
- 2.3. Data Validation
- 3. Executive Summary
- 3.1. Key Findings
- 3.2. Analyst View
- 4. Market Dynamics
- 4.1. Market Drivers
- 4.2. Market Restraints
- 4.3. Porter’s Five Forces Analysis
- 4.3.1. Bargaining Power of Suppliers
- 4.3.2. Bargaining Power of Buyers
- 4.3.3. Threat of New Entrants
- 4.3.4. Threat of Substitutes
- 4.3.5. Competitive Rivalry in the Industry
- 4.4. Industry Value Chain Analysis
- 5. Semiconductor Back-end Equipment Market By Procedure
- 5.
- 1. Introduction
- 5.2. Wafer Testing
- 5.3. Bonding
- 5.4. Dicing
- 5.5. Metrology
- 5.6. Assembly Packaging
- 6. Semiconductor Back-end Equipment Market By Geography
- 6.
- 1. Introduction
- 6.2. Americas
- 6.2.1. Procedure
- 6.2.2. By Country
- 6.2.2.1. United States
- 6.3. Europe Middle East and Africa
- 6.3.1. Procedure
- 6.3.2. By Country
- 6.3.2.1. United Kingdom
- 6.3.2.2. Germany
- 6.3.2.3. Others
- 6.4. Asia Pacific
- 6.4.1. Procedure
- 6.4.2. By Country
- 6.4.2.1. China
- 6.4.2.2. Japan
- 6.4.2.3. Taiwan
- 6.4.2.4. South Korea
- 6.4.2.5. Others
- 7. Competitive Environment and Analysis
- 7.1. Major Players and Strategy Analysis
- 7.2. Emerging Players and Market Lucrativeness
- 7.3. Mergers, Acquisitions, Agreements, and Collaborations
- 7.4. Competitive Dashboard
- 8. Company Profiles
- 8.1. Applied Materials
- 8.2. Lam Research
- 8.3. Tokyo Electron Corporation
- 8.4. KLA Corporation
- 8.5. Onto Innovation Inc.
- 8.6. COHU
- 8.7. Canon U.S.A., Inc.
- 8.8. Yamaha Motor
- 8.9. SUSS Microtec SE
- 8.10. ASML
- 8.11. Kulicke & SOFFA
- 8.12. ASMT
- 8.13. BE Semiconductor Industries N.V.
- 8.14. DISCO Corporation
- 8.15. EV Group
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