China Core Semiconductor Sales Growth Accelerated to 24% in June-August, BofA Reports

China's core semiconductor sales, excluding memory, posted 24% year-over-year growth in the June-August 2026 period, marking an acceleration from the 18% growth seen in the second quarter. The data, from the Semiconductor Industry Association (SIA) and World Semiconductor Trade Statistics (WSTS) and cited by Bank of America, points to strengthening demand in key computing segments.

MPU and Logic Chips Drive Growth

The primary driver for the accelerated growth was the microprocessing unit (MPU) segment, which surged 70% year-over-year in the three-month period, up significantly from 56% in the second quarter. This growth rate in China notably outpaced the global average of 40%, which BofA attributed to rising domestic computing demand. Logic chip sales also saw robust growth, increasing to 29% from 19% in the prior quarter.

Other segments showed more modest changes:

• Microcontroller units (MCUs): Growth improved slightly to 19% year-over-year from 18%.
• Analog sales: Remained stable at 14% year-over-year, compared to 15% in the second quarter.
• Discrete semiconductors: Growth eased to 11% from 13% in the previous quarter.

Memory Market Sees Slower Sequential Gains

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While not included in the core figure, China's memory chip market continued to post extraordinary year-over-year gains, strengthening to 458% growth from 432% in the second quarter. However, sequential growth moderated significantly, slowing to 29% quarter-over-quarter from 59% in Q2, which the report partly attributes to a normalization in the pace of price increases.

Within the memory segment, DRAM sales grew 494% year-over-year, while NAND sales increased 424%. Memory chips accounted for a substantial 60% of China’s total semiconductor sales during the period.

Trade and Pricing Context

China's total semiconductor average selling price (ASP) edged higher to $1.02 in the June-August timeframe but remained 32% below the global average. Separate data from China Customs highlighted an accelerating trade surplus in integrated circuits, with export value growth hitting 128% year-over-year in the third quarter, far outpacing import value growth of 76%.