An oversupply of low-end semiconductors amid lacklustre demand from downstream sectors such as smartphones and home appliances is worsening in the world’s biggest chip market, according to business merchants. For vendors at Shanghai’s SEG Electronics Market, a sourcing centre for semiconductor components in the Yangtze River Delta, the headache is not from US trade restrictions on China’s access to advanced chips but weak demand for mature integrated circuits (IC) from smartphone and home appliance manufacturers. The market in downtown Shanghai, which occupies five floors, was eerily quiet on a recent visit by Post reporters, with few potential buyers and many...