LG Chem is enhancing its collaboration to target the global semiconductor market by establishing a local supply chain for ultra-pure isopropyl alcohol (IPA), a key cleaning material for semiconductors.
On September 14, LG Chem signed a memorandum of understanding (MOU) with Jianghuawei, a leading precision chemical materials company in China, to collaborate on the ultra-pure IPA business for semiconductors. Jianghuawei produces and refines high-purity chemical materials for semiconductor and display processes, supplying them to major local semiconductor companies.
Ultra-pure IPA is an essential cleaning material used repeatedly throughout the semiconductor manufacturing process. Even minute impurities can affect semiconductor performance and yield, necessitating strict quality control.
HP-IPA, the product in focus, is based on C3-IPA, which LG Chem produces under a rigorous production management system to ensure stable quality competitiveness. LG Chem is a major supplier, producing 165,000 tons of high-purity, high-quality C3-IPA annually at its facility in Yeosu, South Korea, and is expanding its supply to global markets, including North America and Asia, in addition to domestic semiconductor customers.
The MOU aims to combine LG Chem's C3-IPA production capabilities with Jianghuawei's refining technology to establish a local supply system for HP-IPA for semiconductor cleaning. LG Chem will supply high-purity, high-quality C3-IPA, which Jianghuawei will refine into HP-IPA for semiconductor cleaning.
Both companies plan to enhance the quality competitiveness and commercialization of HP-IPA, targeting leading semiconductor customers in AI semiconductors and high-bandwidth memory (HBM). They will engage in various collaborative activities, including technology exchange, information sharing, and joint marketing.
Kim Sang-min, Executive Vice President of LG Chem's Petrochemical Division, stated, "We will strengthen our supply base for ultra-pure raw materials for semiconductors based on differentiated quality competitiveness and stable supply capabilities, while also seeking new growth opportunities in the global semiconductor materials market."
The MOU signing ceremony took place at Jianghuawei's facility in Zhangjiagang, Jiangsu Province, China, attended by key executives from both companies, including Xu Liheng, Vice President of Shanghai Huayi Group, and Kim Sang-min.
Additionally, LG Chem has been actively pursuing the semiconductor market, recently announcing in July that it would supply semiconductor strippers to Amkor, a global semiconductor back-end company in the United States.
* This article has been translated by AI.
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