SINGAPORE (ICIS)--Sumitomo Chemical is expanding its production capacity for high-purity chemicals for semiconductors, the Japanese producer said on Tuesday.
The company will install new production lines to double the capacity for high-purity sulfuric acid at its site in Ehime, Japan and increase the capacity for high-purity ammonia water at its wholly-owned subsidiary Dongwoo Fine-Chem Co's site in Iksan, South Korea, it said in a statement.
High-purity chemicals are used in the semiconductor production process, mainly for precision cleaning.
Commercial production at the expanded capacities are expected to commence in the first half of fiscal year 2024 in Ehime and in the second half of the 2023 fiscal year in Iksan.
"The semiconductor device market has continued to grow, driven by demand for 5G smartphones and, amid lifestyle changes, increased demand for personal computers and data center-related equipment," the company said.
"Against this backdrop, demand for high-purity chemicals, which are essential to the semiconductor production process, is expected to continue to increase strongly," it added.
The company did not disclose financial and capacity details for the expansion project.