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24 November 2008


SDK expanding ammonia production for China

Showa Denko K.K. (SDK) says that it is establishing a joint venture (JV) in Quzhou, Zhejiang Province, China to produce high-purity ammonia for the electronics industry. 

Construction of a high-purity ammonia plant (with a capacity of 500 tons per year) will begin soon, for start-up in June 2009. Staffing should number about 20 employees. The chairman is Toshio Ohi, director & executive officer of SDK’s Chemicals Sector.

The JV, Zhejiang Quzhou Juhua Showa Electronic Chemical Materials Co Ltd, will be owned 51% by SDK, 20% owned by Quzhou-based chemical producer Zhejiang Juhua Co Ltd and 29% owned by its affiliate Zhejiang Jinju Chemical Co Ltd (which was established earlier this year).

Zhejiang Jinju Chemical will supply the new plant with raw material (industrial ammonia) as well as electricity and other utilities. The JV will use SDK’s purification technology for the production of high-purity ammonia and sell all products to companies within the Showa Denko Group.

High-purity ammonia is used as a nitride-film-forming gas in the production process of semiconductors, liquid crystal displays (LCDs), and gallium nitride-based LEDs. It is also increasingly used for the production of solar cells based on polycrystalline silicon.

SDK says that demand for high-purity ammonia in China is increasing rapidly, reflecting the growth of the Chinese electronics industry. Depending on future demand, the firm will consider the possibility of expanding the plant's production capacity to 1000 tons a year by the end of 2010.

SDK has also expanded the high-purity ammonia production capacity of its subsidiary Taiwan Showa Chemicals Manufacturing Co Ltd from 1200 tons per year to 1500 tons per year.

SDK says that, by fully utilizing the new plant in China as well as its existing production sites in Japan (Kawasaki) and Taiwan (Tainan), it will strengthen its supply of high-purity ammonia to the growing East Asian market. The firm is aiming to expand semiconductor-processing materials operation as one of its strategic businesses.

See related items:

Showa Denko extends 100mm SiC epiwafer production

SDK starts shipping 80lm/W red LED chips

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