In a transistor including an oxide semiconductor, hydrogen in the oxide semiconductor leads to degradation of electric characteristics of the transistor. Thus, an object is to provide a semiconductor device having good electrical characteristics. An insulating layer in contact with an oxide semiconductor layer where a channel region is formed is formed by a plasma CVD method using a silicon halide. The insulating layer thus formed has a hydrogen concentration less than 6×1020 atoms/cm3 and a halogen concentration greater than or equal to 1×1020 atoms/cm3; accordingly, hydrogen diffusion into the oxide semiconductor layer can be prevented and hydrogen in the oxide semiconductor layer is inactivated or released from the oxide semiconductor layer by the halogen, whereby a semiconductor device having good electrical characteristics can be provided.