MANILA -- The semiconductor industry in the Philippines may contract by about 9 to 10 percent in 2023, the Semiconductor and Electronics Industries in the Philippines Foundation, Inc. (SEIPI) said Monday.

Speaking on ANC's "Market Edge," SEIPI president Dan Lachica said they initially expected the industry to grow by 5 percent in 2023, but they were hit by "global political and economic factors, compounded by inventory correction that we’ve seen."

"We’ve seen a 15 percent contraction in (the first quarter), recovered somewhat to about 7 percent but again, the trend doesn’t seem to have improved.

"So when we had our board meeting, our SEIPI board meeting last week, we estimated a 9-10 percent contraction versus 2022 levels."

Lachica said they expect some improvement in the global demand for semiconductors in 2024, looking at a flat growth in that year compared to 2023.

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--ANC, 27 November 2023