Zhitong Financial APP learned that the decline in chip stocks widened in the afternoon. As of press time, Shanghai Fudan (01385) fell 6.29% to HK $38; Hua Hong Semiconductor (01347) fell 3.13% to HK $26.35; ASM Pacific (00522) fell 1.22% to HK $56.75; Semiconductor Manufacturing International Corporation (00981) fell 0.92% to HK $17.18.

On the news, a report released by Jibang Consulting on November 24th showed that due to the weakening demand caused by the economic downturn, global sales of flash memory chips (NAND Flash) fell 24.3% month-on-month to $13.71 billion in the third quarter. Sales of flash chips from Samsung Electronics and SK Hynix both fell in the third quarter. Samsung Electronics sales fell 28.1% month-on-month to $4.3 billion, while SK Hynix sales fell 29.8% month-on-month to $2.54 billion.

The global semiconductor market has begun to shrink in the past two quarters, with semiconductor revenues of $147 billion in the third quarter of 2022, down 7 per cent from $158.1 billion in the second quarter, according to market research firm Omdia. The industry believes that the global semiconductor market is entering a period of weakness and will continue until 2023.