China Flash Memory Market Size (2024 - 2029)

China Flash Memory Market Analysis

The China Flash Memory Market size is estimated at USD 15.28 billion in 2024, and is expected to reach USD 24.5 billion by 2029, growing at a CAGR of 9.91% during the forecast period (2024-2029).

Moreover, One of the key factors boosting the growth of the China flash memory market is the increasing popularity of portable electronic devices, combined with the increasing penetration of advanced technologies such as IoT among the Chinese population.

Flash memory, also known as flash storage, is a nonvolatile memory that erases and rewrites data at the byte level. Because of their speed and dependability, flash memories, such as SSDs, are gradually replacing hard disc drives (HDDs) in various consumer electronics. The rise of the consumer electronics industry in the region is expected to drive the market.

The Ministry of Industry and Information Technology stated in September 2022 that China ranks first globally in consumer electronics production and sales due to the country's improved innovation and brand-building capacity. Furthermore, China continues to be an essential global manufacturing base for consumer electronics, attracting the world's major electronic producers to establish manufacturing bases and R&D centers. Such factors will result in a sizable memory device market.

Moreover, the region is seeing several investments and initiatives to improve its production capabilities, one of the factors driving the market. For example, the Chinese government stated in January 2021 that it aimed to increase the domestic market for electronic components to RMB 2.1 trillion (327 billion USD) by 2023. Such government initiatives are anticipated to drive the demand for flash memory devices in electronic products.

Furthermore, smart watches and smart fitness bracelets are gaining popularity in China as consumers turn to such devices for tracking health as COVID-19 prevention and control measures are optimized. True wireless stereo (TWS) hearable devices are expected to drive significant momentum on NOR Flash among the various IoT applications. China's Ministry of Industry and Information Technology (MIIT) unveiled a five-year plan for smart IoT manufacturing in December 2021, with large manufacturers focusing on digitalization by 2025. Such an initiative is expected to propel the region's consumer IoT electronics market by creating the need to install Flash memory components.

During the study period, major market players continuously invest in new product launches and other tactical initiatives that boost the market's expansion. For example, China's NOR flash providers, such as Giantec Semiconductor, GigaDevice Semiconductor, and others, are increasing their use in automotive applications to offset a drop in consumer demand.

In addition, the Chinese automotive industry is showing vital signs of recovery in the region, indicating well demand for flash memory devices such as NOR Flash devices. According to the China Association of Automobile Manufacturers (CAAM), Chinese automakers produced 27.02 million units in 2022, a 3.4% increase over the previous year, while sales increased by 2.1% by 26.86 million units. Such advancements will necessitate using flash memory products such as NOR Flash for various applications such as infotainment and engine control.

The most common NOR flash memory substitutes are NAND and DRAM. As a result, one of the market challenges that will limit the growth of NOR Flash sales in the region is the availability of substitutes. Furthermore, the impact of US export bans has caused significant production problems for Chinese chipmakers, limiting market growth.

China Flash Memory Industry Segmentation

Flash memory is a non-volatile electronic computer memory storage medium that can be erased and reprogrammed electrically. Flash memory is widely used in embedded systems to store data and code. Unlike traditional hard drives, flash memory can store data even after the power is turned off. NOR flash and NAND flash are the two main types of flash memory. Both employ the same cell design, which consists of a floating gate. The market study comprises the value and volume of flash memory.

The China flash memory market is segmented by type (NOR flash memory (by density (2 megabit & less, 4 megabit & less (greater than 2mb), 8 megabit & less (greater than 4mb), 16 megabit & less (greater than 8mb), 32 megabit & less (greater than 16mb), 64 megabit & less (greater than 32mb))), NAND flash memory (by density (128 mb & less, 512 mb & less, 2 gigabit & less (greater than 1gb), 256 mb & less, 1 gigabit & less, 4 gigabit & less (greater than 2gb))), by end user (data center(enterprise and servers), automotive, mobile and tablet, client (PC, Client SSD)). The report offers the market size in value terms in USD for all the abovementioned segments.