UPDATE 1-Global chip sales up 1.2 pct in July vs June - SIA

* Sees industry growth in line with forecast of 28.4 pct

* July sales up 37 pct from year ago

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Aug 30 (Reuters) - Worldwide semiconductor sales rose 1.2 percent in July to $25.2 billion, from June, despite growing indications of slowing growth in the overall economy, the Semiconductor Industry Association (SIA) said.

SIA said it continues to expect that industry growth for 2010 will be in line with its mid-year forecast of 28.4 percent.

"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," SIA President Brian Toohey said in a statement.

On Friday, bellwether Intel Corp (INTC.O), which dominates the market for PC microprocessors, warned that third-quarter revenue could fall short of its own estimates by more than $1 billion. [ID:nN27260125]

Major chipmakers include Intel, Texas Instruments Inc TXN.N, Advanced Micro Devices Inc (AMD.N), National Semiconductor Corp (NSM.N), Nvidia Corp (NVDA.O), Qualcomm Corp (QCOM.O), STMicroelectronics (STM.PA), Samsung Electronics Co (005930.KS) and Hynix Semiconductor (000660.KS). (Reporting by Manasi Phadke in Bangalore; Editing by Unnikrishnan Nair)