Showa Denko (SDK; TSE: 4004) decided to raise prices of its high-purity gases for electronics which are used for production of semiconductor integrated circuits and other electronic materials. Specifically, SDK will raise prices of high-purity gases for electronics by 20% or more as from delivery on January 1, 2022.
High-purity gases for electronics are used in the production of semiconductor integrated circuits, LCD panels, and GaN LEDs, as etching gases to produce electronic circuits by creating fine ditches and holes in thin films on silicon substrates, and as cleaning gases to remove unwanted chemical substances that adhere to chamber walls after deposition of thin films on silicon substrates.
As for the current market condition of high-purity gases for electronics, while the demand for the gases continues increasing due to strong demand for semiconductor integrated circuits, our production costs have been increasing due to a rise in prices of raw materials and energy costs, in addition to a substantial rise in the cost of transportation. Although we worked hard to reduce costs by improving production efficiency, streamlining transportation, and other means, we have concluded that we have no alternative but to ask our customers to bear a part of the cost increase in order to ensure the stable production and supply of high-purity gases for electronics.
About Showa Denko K.K.
Showa Denko K.K. (SDK; TSE: 4004, ADR: SHWDY) is a major manufacturer of chemical products serving from heavy industry to computers and electronics. The Petrochemicals Sector provides cracker products such as ethylene and propylene, the Chemicals Sector provides industrial, high-performance and high-purity gases and chemicals for semicon and other industries, the Inorganics Sector provides ceramic products, such as alumina, abrasives, refractory/graphite electrodes and fine carbon products. The Aluminum Sector provides aluminum materials and high-value-added fabricated aluminum, the Electronics Sector provides HD media, compound semiconductors such as ultra high bright LEDs, and rare earth magnetic alloys, and the Advanced Battery Materials Department (ABM) provides lithium-ion battery components. For more information, please visit www.sdk.co.jp/english/.