Global Lithography Systems Market Size, Forecast, and Trend Highlights Over 2025-2037
Lithography Systems Market size was valued at USD 8.95 billion in 2024 and is likely to cross USD 18.17 billion by 2037, registering more than 5.6% CAGR during the forecast period i.e., between 2025-2037. In 2025, the industry size of lithography systems is estimated at USD 9.35 billion.
The growth of the lithography systems market can be attributed to the rapid expansion of the semiconductor industry. Lithography is the most widely used method for the semiconductor fabrication of microchips or integrated circuits. According to data published by The Observatory of Economic Complexity in 2023, the U.S. exported semiconductor devices worth USD 3.47 billion, and the prominent destination of exports of semiconductor devices was China, amounting to USD 578 million.
Additionally, lithography systems are widely used in printing and packaging. High-quality graphics can be made on posters, maps, and newspapers with the help of a lithography system. A recent data release from the U.S. Bureau of Labor Statistics on manufacturing goods witnessed a 3.7% average surge in the Producer Price Index in 2023. Other than this, the U.S. Department of Commerce has declared significant funding to propel the semiconductor supply chain. For instance, USD 18.2 million has been awarded to Edwards Vacuum to develop a manufacturing facility in New York. The project aims to enhance the dependency on the domestic supply chains and lower the reliance on imports from foreign countries.
Lithography Systems Sector: Growth and Challenges
Growth Drivers
- Advancements in EUV lithography and metrology: The EUV lithography has become pivotal for manufacturing advanced semiconductor products. Global governments are infusing money into expanding semiconductor capabilities, considering the strategic importance of the lithography systems. The National Institute of Standards and Technology launched a project on advanced metrology, endeavoring to develop solutions for formulations of photoresist formulations. Various companies are investing in research and development for EUV technologies and joining hands with government institutes to remain at the leading position in lithography developments.
- Strategic opportunities in semiconductor manufacturing: The lithography systems market is poised to witness significant growth fostered by the rising inclusion of AI and IoT technologies. The extreme ultraviolet lithography is crucial for making high-performance chips, and the rise of advanced packaging technologies has created a demand for multi-patterning systems. Global governments are investing in enhancing semiconductor capabilities. For instance, under the U.S. CHIPS Act, USD 52.2 billion was infused by the government, and the EU Chips Act has allocated USD 44 billion to lower the reliance on Asia Pacific foundries.
- Boom in the automotive sector: The surge in the requirement for semiconductor content in vehicles is remarkably affecting the growth trajectory of the lithography systems market. It has been estimated that the amount of semiconductor installed in both traditional combustion vehicles and EVs is USD 410 and USD 1,200 per vehicle. The International Energy Association stated in 2023, electric vehicle sales reached 10 million units, and the volume of chips needed would reach a staggering number. The requirement for miniaturization in chip making is bolstering the lithography systems market growth exponentially.
Sustainability Initiatives Reshaping the Lithography Systems Market
The market is witnessing revolutionary changes as prominent companies are implementing initiatives for sustainability. Such initiatives are lowering the environmental impact and upgrading the operational efficiency. Market players are opting for energy-efficient solutions and investing in green manufacturing. Also, recycling and refurbishment have become pivotal for extending the lifespan of the equipment. These efforts are creating a pool of demand for sustainable solutions in the lithography market, simultaneously meeting the stringent regulations. Also, such inclinations from the market players are acting as a differentiator in the market.
|
Company |
Sustainability Initiatives |
Vision |
Impact on Business |
|
ASML |
Refurbished over 130 lithography machines with an 89% reuse rate. |
Achieve greenhouse gas neutrality across the value chain by 2040. |
Enhanced brand reputation and alignment with global sustainability standards. |
|
Epson |
Transitioned to 100% renewable electricity at all global sites by December 2023. |
Become carbon-negative and underground resource-free by 2050. |
Estimated annual CO₂ emissions reduction of ~400,100 tonnes |
|
Nikon |
Set SBTi-approved targets: 58% reduction in Scope 1 and 2 emissions, 25% reduction in Scope 3 emissions by 2030. |
Promote resource circulation and minimize environmental impact. |
Accelerated sustainability efforts position Nikon as an industry leader. |
Emerging Trade Dynamics and Impact on Lithography Systems Market
The worldwide trade perspective for the lithography systems and related components has witnessed remarkable shifts in the last decade. For instance, export from Japan of disc chemicals that are critical for lithography processes in August 2024 surged by 16.4% year-over-year, reaching USD 8.3 billion. The pandemic disrupted the supply chains, but despite the challenges, the global trade rebounded, reaching USD 227 billion in 2023. Also, Japan is playing is significant role in the global supply chain because of its consistent export growth.
Trade Data Summary (2019–2024)
|
Year |
Exporting Country |
Product Category |
Export Value (billion) |
Major Destinations |
|
2022 |
Japan |
Inorganic Chemicals |
USD 9.78 |
United States, India, China |
|
2022 |
Japan |
Disc Chemicals for Electronics |
USD 5.18 |
Chinese Taipei, China, South Korea |
|
2023 |
China |
Chemical Products |
USD 227 |
South Korea, India, United States |
|
2024 |
Japan |
Disc Chemicals for Electronics |
USD 8.2 |
Chinese Taipei, China, South Korea |
Challenges:
- High capital investment and cost barriers: The cost for advanced lithography systems reaches more than USD 151 million per unit. The high upfront investment puts off smaller fabs of semiconductor and restrains lithography systems market participation. Also, there is the high capital cost for research and development, which further restricts the entry for new competitors.
- Supply chain constraints: The lithography system needs precision components such as light sources and mirrors. Most of the components are procured from a very limited number of suppliers. These factors cause disruptions and can delay production and deliveries.
Lithography Systems Market: Key Insights
| Report Attribute | Details |
|---|---|
|
Base Year |
2024 |
|
Forecast Year |
2025-2037 |
|
CAGR |
5.6% |
|
Base Year Market Size (2024) |
USD 8.95 billion |
|
Forecast Year Market Size (2037) |
USD 18.17 billion |
|
Regional Scope |
|
Lithography Systems Segmentation
Application (Automotive, Consumer Electronics, Semiconductors, Medical Devices, Aerospace & Defense)
The semiconductor manufacturing segment is projected to garner 62.3% lithography systems market share owing to the rising demand for AI chips and high-performance computing. Lithography systems are crucial for making chips at upgraded nodes with almost 5nm of measurement. The U.S. Department of Commerce allocated USD 39.2 billion in 2024, considering semiconductor production as a national priority. Additionally, the European Union aims to double the global semiconductor market, needing a huge investment in EUV lithography systems. Other than this, the U.S. National Institute of Standards and Technology demonstrated that AI chip demand is expected to surge 5x by 2030, requiring more tools made by lithography.
Technology (EUV Lithography, DUV Lithography, I-line Lithography)
The EUV technology is anticipated to garner a maximum share of 48.5% by 2037. The growth of the lithography systems market can be attributed to the high need for precision. Research Nester suggests that EUV lowers the process steps by almost 32-50%, enhancing the efficiency and yield. Leading market players such as TSMC and Samsung are dependent upon EUV for making next-generation chips. Additionally, the European Commission marks the EUV as “critical technology” for the semiconductor industry. Also, EUV tools have become imperative for enabling next-generation semiconductor performance.
Our in-depth analysis of the lithography systems market includes the following segments:
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Type |
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Trade |
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Application |
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End User |
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Technology |
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Wavelength |
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Vishnu Nair
Head - Global Business DevelopmentCustomize this report to your requirements — connect with our consultant for personalized insights and options.
Lithography Systems Industry - Regional Analysis
Asia Pacific Market Analysis
The Asia Pacific region is projected to dominate the lithography systems market, garnering a revenue share of 42.7% revenue share. The government in China has allocated USD 180 billion for chip-making in 2023, propelling the local lithography capability. The data published by the China Academy of Information and Communications Technology in 2023 stated that 7.3 million enterprises have incorporated solutions related to lithography technology. Other than this, Japan has infused 14% of its ICT budget to upgrade lithography systems in 2024. The Ministry of Electronics and Information Technology in India reported a 97.4% surge in funding associated with lithography between 2015-2023, rendering support to over 1.28 million small to medium-sized businesses.
North America Market Analysis
The lithography systems market in North America is anticipated to account for 32.6% of the revenue share. The market growth is driven by high demand from the semiconductor foundries, particularly from the U.S. Under the Broadband Equity, Access, and Deployment (BEAD) program, USD 42.7 billion has been allocated for getting high-speed internet. These policies pushed the chipmakers to raise the wafer output to fulfill the hardware demand from the ICT industry. These trends ensure continued dominance of the U.S. market in high-value lithography equipment deployment.
The lithography systems market market in Canada is also witnessing steady growth fostered by innovation-focused strategies. Innovation, Science and Economic Development Canada (ISED) in the country aids the advanced manufacturing that includes the processing of semiconductors. The strategic investments highlight the country’s commitment to empower its rank in the worldwide semiconductor market. Also, there is a push particularly to advance the lithography system to modernize the electronics development. In 2022, the National Research Council’s CPFC in Canada invested USD 90.4 million in enhancing photonics fabrication facilities to aid semiconductor and lithography advancements.
Companies Dominating the Lithography Systems Landscape
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The competitive landscape of the lithography systems is rapidly evolving as established key players, IT giants, and new entrants are investing in advanced technologies. Key players in the market are focused on developing products catering to the stringent regulatory norms and consumer demand. These key players are adopting several strategies, such as mergers and acquisitions, joint ventures, partnerships, and novel product launches, to enhance their product base and strengthen their market position.
Top 15 Global Lithography Systems Market Manufacturers
Company Name
Country of Origin
Approx. Market Share (%)
ASML Holding N.V.
Netherlands (Europe)
65%
Nikon Corporation
Japan
10%
Canon Inc.
Japan
8%
Ultratech (a division of Veeco)
USA
4%
NuFlare Technology Inc.
Japan
2%
SÜSS MicroTec SE
Germany (Europe)
xx%
EV Group (EVG)
Austria (Europe)
xx%
Jeol Ltd.
Japan
xx%
SMEE (Shanghai Micro Electronics Equipment)
China (for reference)
xx%
Applied Materials Inc.
USA
xx%
Vistec Electron Beam GmbH
Germany (Europe)
xx%
Carl Zeiss SMT GmbH
Germany (Europe)
xx%
LithoVision (Startup under CSIRO)
Australia
xx%
Samsung Electronics Lithography Division
South Korea
xx%
Bharat Electronics Limited (BEL)
India
xx%
Here are a few areas of focus covered in the competitive landscape of the market:
- Company Overview
- Business Strategy
- Key Product Offerings
- Financial Performance
- Key Performance Indicators
- Risk Analysis
- Recent Development
- Regional Presence
- SWOT Analysis
Recent Developments
- In March 2024, Nikon introduced a new DUV immersion lithography system having enhanced throughput with 300 wafers per hour. The company’s semiconductor equipment revenue surged by 18.2% in Q1 2024.
- In January 2024, ASML launched a high NA EUV lithography system. The key features of the product are that it enables 2nm and even production of the chips. Intel secured the 1st high NA EUV machines, endeavoring for 2nm production by 2025.
Author Credits: Richa Gupta
- Report ID: 4514
- Published Date: Jun 02, 2025
- Report Format: PDF, PPT
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