China expected to grow at twice the pace of the entire semiconductor industry over the next five years China became the world’s third largest market for semiconductors last year as Chinese users snapped up more computers and mobile phones, market researcher IDC said Tuesday.The world’s most populous nation consumed $26.1 billion worth of semiconductors last year, 39 percent more than 2003, when its market was valued at $18.8 billion, IDC said. IDC did not include chips re-exported by Chinese factories in its figures.“The country’s semiconductor market has grown from a meager $2 billion during the 1990’s to become the third largest consumer of semiconductors worldwide,” IDC said in a statement. Computing led the way for China in terms of chip consumption, including personal computers, laptops, and servers, said Betty Lin, a research manager at IDC in Taipei. The country’s communications sector only devoured around a fourth as many chips as the computing segment, she said.In 2005, IDC expects China’s semiconductor market to grow 8 percent to $28.3 billion.“China will continue to grow at twice the pace of the entire semiconductor industry over the next five years,” said Lin. China’s chipmaking industry gained market share last year, mainly due to strong government encouragement, IDC said.Current policies have encouraged over $9.3 billion in chip-related capital investments in China since the year 2000, and an additional $4.5 billion of investments is expected this year, IDC said.Chinese chip suppliers took a 12 percent share of the contract semiconductor manufacturing market last year, up from 7 percent in 2003, according to IDC. Shanghai-based Semiconductor Manufacturing International had over a 6 percent global share of the chip foundry revenue last year, IDC said. IDC is owned by International Data Group, the parent company of IDG News Service. Technology Industry