Shulou(Shulou.com)12/24 Report--

CTOnews.com December 14 news, according to South Korean media The Elec reported that Japan's Sumitomo Chemical subsidiary Toyo Precision Chemical (Dongwoo Fine-Chem) informed South Korean semiconductor company that due to rising raw materials and labor costs, KrF and L series photoresist supply prices will rise by 10-20%.

CTOnews.com Note: photoresist (Photoresist), also known as photoresist, refers to the film material whose solubility changes through the irradiation or radiation of ultraviolet light, electron beam, ion beam, X-ray and so on.

Photoresist is a key material in lithography process, which is mainly used in fine pattern processing of integrated circuits and discrete devices.

There are many kinds of photoresist, and the KrF photoresist involved in this price increase is a high-end photoresist, which is one of the main competitive markets for domestic and foreign manufacturers in the future.

At present, the photoresist market has been dominated by major manufacturers such as Tokyo Dahe Industry, DuPont, JSR, Shinyue Chemical, Sumitomo Chemical and Dongjin Semiconductor.

The photoresist industry needs to be highly specialized, involving complex formulations of resins, photosensitive acids and additives, which every company regards as a trade secret.

Huge technical barriers, coupled with the demand for purity and performance from laboratory testing to market production, make the whole product development process time-consuming and complex.

In addition, to meet customer requirements and production line adjustment requires 1 to 3 years of verification, making it difficult for customers to transfer existing photoresist companies.

In the face of technical and customer-centric challenges, the photoresist company has a strong negotiation ability. The recent rise in the price of photoresist has triggered an obvious reaction from the Korean semiconductor industry.

Insiders in the fab factory commented:

In the face of rising photoresist prices, wafer foundry has no choice but to pass on part of the cost to customers (no fab company).

Dongyou Precision Chemical increases the price of photoresist, which may lead to a decline in the profitability of wafer foundry and fab-free industries.

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