An investment of KRW 51.2 billion… Establishment of hydrofluoric acid production line by second half of the year
Strengthening of South Korea’s semiconductor ecosystem through self-production expect
ENF Technology will establish a production line of hydrogen fluoride raw materials at its Cheonan site, aiming to start mass-production during the second half of this year. This is significant in the fact that ENF will localize the production of hydrogen fluoride and its raw materials, which are originally Japanese export-regulated items.
By investing KRW 51.2 billion into its Cheonan plant, ENF is making preparations to build manufacturing facilities for hydrofluoric acid. Hydrofluoric acid is a raw material of hydrogen fluoride used to cut circuits and remove impurities during the manufacturing process of semiconductors. It is used in the etching and cleansing processes of wafers by semiconductor manufacturers such as Samsung Electronics and SK Hynix etc. Until now, hydrofluoric acids have been imported from Japanese companies such as Morita Chemicals and Stella Chemifa etc.
This is the first time ENF will start producing hydrofluoric acid. Up until now, it has imported the acid from Japan and supplied semiconductor manufacturers with hydrogen fluoride produced from this foreign material. Since the export regulations of Japan in 2019, ENF has both strengthened hydrogen fluoride production and developed hydrofluoric acids, promoting the self-production of the raw material. The specifics of the production capacity of hydrofluoric acid has not been confirmed. According to an official from ENF, “We have a production system of hundreds to thousands of tons per month to match the expanding use of semiconductor materials such as hydrogen fluoride,” adding, “We are also strengthening our ability to produce core raw materials to secure a stable supply of semiconductor materials.”
ENF predicts the establishment of a vertical production system for semiconductor hydrogen fluoride through its production of hydrofluoric acid. It is planning to strengthen South Korea's semiconductor ecosystem amid an unstable supply chain of semiconductors.
ENF will complete the production facilities in Cheonan by the second half of this year. Hydrofluoric acid test production is underway to expand the supply of hydrogen fluoride. ENF has also expressed its willingness to expand sales of semiconductor material businesses.
ENF produces major process materials for semiconductors in the electronics materials sector they call Process Chemical. Hydrogen fluoride is supplied to domestic semiconductor manufacturers. In particular, ENF is moving to strengthen the domestic material supply chain due to increased demand from the semiconductor industry. In response to increased demand from client companies, ENF is expected to increase sales of electronic materials division by self-producing hydrofluoric acid and expanding the supply of hydrogen fluoride.
Last year, ENF recorded sales of KWR 512.8 billion in its major electronics materials division which produces hydrogen fluoride and photoresist (PR) raw materials, up 7.2 percent from its previous year. According to the securities industry, ENF's sales are expected to rise up to approximately KWR 600 billion this year.
By Staff Reporter Jiwoong Kim (jw0316@etnews.com)