SAN JOSE -- The 90-day moving average worldwide semiconductor sales rose 1.2% sequentially in July to $25.2 billion, the Semiconductor Industry Association said.

Sales were up 37% from $18.4 billion in July 2009, the trade group said.

SIA reiterated its its mid-year forecast of 28.4%, saying the industry will continue to expand even as the overall economic growth rate slows.

"The continued proliferation of semiconductors into a broad range of products provides opportunities for industry expansion even in a period of slower overall economic growth," president Brian Toohey said in a statement. "Although recent public statements from a number of major manufacturers have emphasized limited visibility for the near-term, we continue to expect that industry growth for 2010 will be in line with our mid-year forecast."

Ed.: Story updated on Aug. 30 to fix calculation error.