Sale of semiconductor manufacturing equipment is forecast to dip 18.4 percent to $52.7 billion in 2019 from $64.5 billion in 2018.
The global sales of semiconductor manufacturing equipment will grow 11.6 percent to $58.8 billion in 2020, according to SEMI, a global industry association representing the electronics manufacturing and design supply chain.
The current forecast reflects recent downward adjustments in capital expenditures and rising market uncertainty due in part to geopolitical tensions.
Wafer processing equipment sales will drop 19.1 percent in 2019 to $42.2 billion.
Fab facilities equipment, wafer manufacturing, and mask/reticle equipment is expected to dip 4.2 percent to $2.6 billion this year.
The assembly and packaging equipment segment will decline 22.6 percent to $3.1 billion in 2019.
Semiconductor test equipment is forecast to decrease 16.4 percent to $4.7 billion this year, the report said.
Taiwan will dethrone Korea as the largest semiconductor manufacturing equipment market. Taiwan will achieve 21.1 percent growth in the semiconductor manufacturing equipment market.
North America will grow 8.4 percent in the semiconductor manufacturing equipment market in 2019.
China will maintain the second spot for the second consecutive year, and Korea will fall to third after throttling back capital expenditures.