According to SEMI (Semiconductor Equipment and Materials International), global sales of semiconductor manufacturing equipment in 2005 posted an 11% decline over the previous year, to US$32.9 billion. In terms of equipment spending in 2005, Japan saw a 1.1% decline, but still ranked first with US$8.2 billion. Korea's spending increased by 26.3%, reaching US$5.6 billion and surpassing Taiwan, whose spending dropped by 26.3%. Furthermore, equipment spending in Southeastern Asia and other smaller markets slid by 36%, while that in Europe and North America was down by 5% and 2%, respectively. Spending on wafer manufacturing equipment dropped by 11.3%; the packaging segment decreased by 13%, and test equipment slid by 17%. In 2006, global sales of semiconductor equipment are expected to grow 9.1%. Spending on wafer manufacturing equipment is expected to grow 6.8%, packaging equipment 9%, and testing equipment 18.1%.