l Establishing a subsidiary in China to expand the cleaning business to global markets ∙∙∙ Mass production and entry into global markets by 2021

l Market size expected to more than double by 2025 ∙∙∙ Stable sales even during an economic slump

SKC Solmics, SKC’s affiliate specializing in semiconductor parts and materials, is expanding its semiconductor cleaning business to China. SKC Solmics launched its cleaning business, which involves removing foreign substances from semiconductor equipment and parts, in 2004 and decided to enter the Chinese market this year to expand its business in the global market.  

The company held its Board of Directors meeting at its head office in Pyeongtaek-si, Gyeonggi-do on April 1 and decided to expand the semiconductor cleaning business to China, planning to invest about 30 billion won. SK Solmics will establish the Chinese subsidiary in Wuxi City in the Yangtze Delta region, which produces more than half of the semiconductors manufactured in China, and construct a foundry this year. It will begin commercial operation next year to increase customers in China and expand production capacity to enter the global market particularly Taiwan and the United States.

Semiconductor cleaning is a process of removing foreign substances by cleaning various kinds of equipment and parts needed for semiconductor production. In semiconductor processes, even a very small amount of foreign substances can affect the yield and quality greatly. As such, semiconductor manufacturers clean the equipment and parts regularly before reusing them.

The importance of the cleaning process has increased as the semiconductor circuits became nanoscopic. The market size is rapidly growing accordingly. According to SKC’s internal survey, the global market is expected to grow from 1.2 trillion won in 2020 to 2 trillion won in 2025.

The cleaning business has the advantage of stable sales due to low business volatility. It is because semiconductor manufacturers tend to reuse existing equipment and parts more to lower costs when the economy is weak. SKC Solmics expects the investment to help stabilize the business through the mutual supplementary effect with existing businesses.

Its business expansion is _ base_d on advanced technology and full automation. SKC Solmics has accumulated know-how since it entered the semiconductor cleaning business in Korea in 2004. It will introduce the industry’s best level from building design to cutting-edge quality inspection system.

“The cleaning business is large, and it has high growth potential. SKC Solmics will stabilize its business in China quickly and enter the global market _ base_d on its cleaning business know-how accumulated for over 16 years,” an SKC official said. [End]