Fujifilm ramps up production in Korean chip material plant
The Japanese company is planning a new building at its Cheonan plant for the production of CMP slurry, an abrasive powder used for polishing semiconductor wafers, according to Nikkei.
Japanese semiconductor materials supplier Fujifilm is reportedly building a new facility in South Korea to ramp up production by 30% and meet the growing demand from Korean memory chipmakers such as SK hynix and Samsung.
According to TrendForce, which cited a Nikkei report, Tetsuya Iwasaki, General Manager of Fujifilm’s Electronic Materials Division, indicated that the company is planning a new building at its Cheonan plant for the production of CMP slurry, an abrasive powder used for polishing semiconductor wafers.
Fujifilm plans to invest several billion yen in the new facility that is expected to start mass production by spring 2027.
In September, the company announced an investment of 20 billion yen (approximately USD 130 million) in its semiconductor materials business, with the aim of expanding the facilities of advanced semiconductor materials in Shizuoka and Oita, Japan.
This month Fujifilm announced a USD 130 million investment to expand CMP slurry capacity by 30% at its chip materials plant in Kumamoto Prefecture.
Fujifilm plans to invest USD 1.1 billion in capital and R&D through the fiscal year ending March 2027, according to Nikkei.
In the first half of the fiscal year, Fujifilm reported a by 9.1% year-over-year increase in revenue to JPY1,514.7 billion, mainly due to strong sales in the electronics and imaging businesses, and the favorable impact of exchange rates. Operating income also benefited from revenue growth and the exchange rate impact, amounting to JPY135.6 billion, increasing by 8.0% year-over-year, the company said in a media release in September.
After pivoting away from its camera business to focus on healthcare, Fujifilm’s retro-themed X100 digital cameras are a big hit with the younger generation, boosting its bottom line.
