Global chip sales stay on track for a trillion-dollar year

The numbers

The Semiconductor Industry Association (SIA) reported that global semiconductor sales reached $298.5 billion in the first quarter of 2026, up 25% from the fourth quarter of 2025. Sales in March alone were $99.5 billion, which is 79.2% above March 2025 and 11.5% above February 2026. The figures are three-month moving averages compiled by the World Semiconductor Trade Statistics organization.

Regional picture

Year-over-year growth for March was strong everywhere except Japan:

• Asia Pacific and other regions: 108.5%
• Americas: 83.1%
• China: 74.8%
• Europe: 46.5%
• Japan: 7.4%

Month over month, the Americas grew 13.3% and China 12.7%.

The trillion-dollar claim

SIA's chief executive said global chip sales remain on track to reach $1 trillion in 2026, with first-quarter sales well above the fourth quarter. A single quarter of $298.5 billion would put the year near $1.2 trillion if the pace held, though quarterly figures can swing. One outlet's comparison to the first quarter of 2025 implied growth of about 78%, a different framing from SIA's own quarterly view, so rely on SIA's release for exact figures.

What is driving it

AI infrastructure is the main force, pulling demand for accelerators and for high-bandwidth and other advanced memory. Chipmakers such as Nvidia reflect the trend, as in our report on its record quarter and higher dividend.

How to read the data

The figures are three-month moving averages, so they smooth out single-month swings but can lag a turning point. Year-over-year comparisons are large partly because chip sales were far lower a year earlier, and sales in dollars also reflect price changes, not only the number of chips shipped.

Risks

• Cyclicality: the industry has a history of boom and bust, driven by inventory swings and spending cuts.
• Concentration: growth tied to AI spending can depend on a small number of very large buyers.
• Geopolitics: export controls and trade policy can shift demand quickly.

The first-quarter data are strong, but they describe the past, not a guarantee for the rest of the year.