Over the next four years, the industry is expected to average 14.3 percent annual growth to be worth 138.8 billion dollars, up from 71.3 billion dollars in 2003.

"Riding on the positive wave created in 2003, the Asia Pacific semiconductor industry is poised to propel the global semiconductor market to new heights," Gartner's Singapore-based principal analyst, Philip Koh, said.

"The rising demands from the end-user industries are the key driving force. China, the electronic manufacturing hub of the world, is expected to continue to lead the industry in the region."

In China, which is the third largest semiconductor market, Gartner forecasts demand will grow 33 percent this year to 39.7 billion dollars and then see average 18.2 percent annual growth until 2008.

The South Korean market is forecast to reach 26.5 billion dollars by 2008 with an annual growth rate of 15.3 percent, while Taiwan is expected to be worth 18 billion dollars in four years with 9.0 percent growth.

Gartner said the growth rates in the Asia Pacific would continue to be faster than any other region in the world, with wireless communications, digital consumer electronics and personal computers the main drivers.

SPACE.WIRE