China's auto semiconductor market is expected to grow by 14% this year

March 30 news, according to IHS iSuppli's China Research Service, China's auto semiconductor sales this year, a strong growth of 14%.

In 2012, China’s auto semiconductor consumption will increase from US$3.6 billion in 2010 to US$4.2 billion. By 2016, it will grow to 6.2 billion U.S. dollars.

Consumers increasingly value safety, fuel efficiency, and reliability, all of which require the use of semiconductors to monitor and control the system. Second, mid-range and premium cars with more semiconductor content are more popular than entry-level cars. Third, a large number of new automotive features have emerged to provide consumers with a better driving experience, including internal or external connectivity, infotainment, and comfort. Driven by these three key factors, the compound annual growth rate of China's automotive semiconductor consumption before 2016 will reach 11%.

The Chinese automotive semiconductor market has grown rapidly in the past few years. In 2010, China's auto semiconductor consumption increased sharply by 58% to reach US$3.2 billion. Demand from China's auto industry is strong, and the increase in Chinese consumer income and government stimulus policies have helped to increase car sales. All these factors are conducive to the expansion of the Chinese automotive electronics market.