The year 2026 is poised to witness another surge in semiconductor prices across the globe. Four leading mature-process wafer foundries—UMC, Vanguard International Semiconductor, Powerchip Semiconductor Manufacturing Corp. (PSMC), and Nexchip—are set to raise their quotes starting from April, with increases reaching up to 10% or even surpassing that threshold.
This latest round of price hikes is primarily fueled by a surge in demand for artificial intelligence (AI) technologies, escalating raw material costs, and constrained production capacities. Wafer foundries have observed a notable rebound in their capacity utilization rates, with certain manufacturers already operating at full tilt. Consequently, these foundries are implementing price increases as a strategic move to mitigate the mounting cost pressures.
Simultaneously, integrated circuit (IC) design firms, particularly those specializing in driver ICs, are also contemplating price hikes. This decision stems from their need to offset the rising expenses passed down from upstream suppliers.