Showa Denko sets up high-purity gas joint venture in China

09, Nov. 2020

Photo by Alienware on Unsplash
Photo by Alienware on Unsplash

TOKYO, NNA - Chemical maker Showa Denko K.K. has set up a joint venture in China with a local firm to produce high-purity gases required in the production of electronics, expecting increasing demand in the country.

Chengdu Kemeite Showa Electronic Materials Co. was established Oct. 30 in Chengdu, Sichuan Province, with a capital of 4 million yuan ($606,000), owned 40 percent by Showa Denko and the rest by Chengdu Kemeite Special Gas Co., the Japanese company said Friday in a statement.

The joint venture will start operating in January and will be tasked with completing the final phase of producing tetrafluoromethane, a high-purity gas also known as CF4 used in the semiconductor manufacturing process, according to the statement.

Showa Denko decided to collaborate with the local gas maker as it will be able to ensure a stable supply of the raw materials required, a company official told NNA. With the new company, Showa Denko will have two CF4 production bases, adding the Chinese location to its plant in Kawasaki, Kanagawa Prefecture, south of Tokyo.

The demand for CF4 is expected to grow steadily because its use has been expanding not only in the process to produce semiconductors but also in leading-edge electronic devices such as organic electroluminescent displays, the statement said. (NNA/Kyodo)