Middle East: Semiconductor Device Market 2025

Semiconductor Device Market Size in the Middle East

The Middle Eastern semiconductor device market contracted to $X in 2021, with a decrease of -6.1% against the previous year. Over the period under review, consumption recorded a perceptible curtailment. The level of consumption peaked at $X in 2013; however, from 2014 to 2021, consumption stood at a somewhat lower figure.

Semiconductor Device Production in the Middle East

In value terms, semiconductor device production shrank to $X in 2021 estimated in export price. Over the period under review, production continues to indicate a pronounced shrinkage. The growth pace was the most rapid in 2020 when the production volume increased by 16%. The level of production peaked at $X in 2013; however, from 2014 to 2021, production remained at a lower figure.

Semiconductor Device Exports

Exports in the Middle East

In 2021, shipments abroad of semiconductor devices was finally on the rise to reach X units for the first time since 2018, thus ending a two-year declining trend. Overall, exports posted a prominent expansion. The pace of growth was the most pronounced in 2018 with an increase of 328%. As a result, the exports reached the peak of X units. From 2019 to 2021, the growth of the exports remained at a lower figure.

In value terms, semiconductor device exports surged to $X in 2021. In general, exports continue to indicate a significant increase. The pace of growth was the most pronounced in 2013 with an increase of 571%. The level of export peaked in 2021 and is likely to see steady growth in the near future.

Exports by Country

Israel dominates exports structure, reaching X units, which was near 93% of total exports in 2021. It was distantly followed by Turkey (X units), generating a 5.6% share of total exports. The United Arab Emirates (X units) followed a long way behind the leaders.

Israel was also the fastest-growing in terms of the semiconductor devices exports, with a CAGR of +17.6% from 2012 to 2021. At the same time, Turkey (+6.5%) displayed positive paces of growth. By contrast, the United Arab Emirates (-4.7%) illustrated a downward trend over the same period. Israel (+34 p.p.) significantly strengthened its position in terms of the total exports, while Turkey and the United Arab Emirates saw its share reduced by -3.1% and -5.2% from 2012 to 2021, respectively.

In value terms, Israel ($X) remains the largest semiconductor device supplier in the Middle East, comprising 99% of total exports. The second position in the ranking was held by Turkey ($X), with a 0.6% share of total exports.

In Israel, semiconductor device exports increased at an average annual rate of +28.6% over the period from 2012-2021. In the other countries, the average annual rates were as follows: Turkey (+13.3% per year) and the United Arab Emirates (-5.7% per year).

Export Prices by Country

The export price in the Middle East stood at $X per unit in 2021, surging by 46% against the previous year. In general, the export price posted resilient growth. The growth pace was the most rapid in 2013 an increase of 300% against the previous year. The level of export peaked at $X per unit in 2014; however, from 2015 to 2021, the export prices stood at a somewhat lower figure.

Prices varied noticeably by country of origin: amid the top suppliers, the country with the highest price was Israel ($X per unit), while the United Arab Emirates ($X per unit) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was attained by Israel (+9.3%), while the other leaders experienced mixed trends in the export price figures.

Semiconductor Device Imports

Imports in the Middle East

In 2021, purchases abroad of semiconductor devices increased by 10% to X units, rising for the second year in a row after two years of decline. Overall, imports, however, saw a perceptible decrease. The pace of growth was the most pronounced in 2014 with an increase of 42% against the previous year. As a result, imports reached the peak of X units. From 2015 to 2021, the growth of imports remained at a somewhat lower figure.

In value terms, semiconductor device imports expanded rapidly to $X in 2021. Over the period under review, imports enjoyed noticeable growth. The growth pace was the most rapid in 2014 with an increase of 84%. As a result, imports reached the peak of $X. From 2015 to 2021, the growth of imports remained at a somewhat lower figure.

Imports by Country

Turkey (X units) and Israel (X units) were the key importers of semiconductor devices in 2021, reaching approx. 50% and 35% of total imports, respectively. It was distantly followed by Iran (X units), making up an 11% share of total imports. Lebanon (X units) followed a long way behind the leaders.

From 2012 to 2021, the most notable rate of growth in terms of purchases, amongst the main importing countries, was attained by Lebanon (with a CAGR of +19.6%), while imports for the other leaders experienced more modest paces of growth.

In value terms, Israel ($X) constitutes the largest market for imported semiconductor devices in the Middle East, comprising 56% of total imports. The second position in the ranking was taken by Turkey ($X), with an 18% share of total imports. It was followed by Iran, with a 1.2% share.

In Israel, semiconductor device imports expanded at an average annual rate of +7.8% over the period from 2012-2021. The remaining importing countries recorded the following average annual rates of imports growth: Turkey (-8.1% per year) and Iran (+0.2% per year).

Import Prices by Country

In 2021, the import price in the Middle East amounted to $X per unit, surging by 3.4% against the previous year. Over the period under review, the import price showed prominent growth. The growth pace was the most rapid in 2019 when the import price increased by 94%. The level of import peaked in 2021 and is likely to see steady growth in the immediate term.

There were significant differences in the average prices amongst the major importing countries. In 2021, amid the top importers, the country with the highest price was Israel ($X per unit), while Lebanon ($X per unit) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was attained by Israel (+1.0%), while the other leaders experienced a decline in the import price figures.

Source: IndexBox Platform

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