The South Korean firm to increase Japan chipmaking chemicals production

A local media South Korean report on Tuesday said, “A South Korean processor of a chemical used to produce semiconductors will increase production soon with a new plant coming, helping domestic chipmakers to offset export margins imposed by Japan “.

The hydrogen fluoride plant operated by SoulBrain Co. Ltd will begin operations in September and the company hopes to help replace imports from Japan’s MoneyToday online media business, citing an unidentified SoulBrain official.

Japan earlier this month has tightened the restrictions on the export of high-tech materials used in semiconductors and smartphone screens, threatening to disrupt the global supply of microchips used by Apple Inc. and Huawei Technologies Co..

South Korean korean choreographers, Samsung Electronics and SK Hynix rely on Japan for three main materials, though they produce some hydrogen fluoride from China and South Korean firms.

SoulBrain already supplies some hydrogen fluoride, used as gas for etching when making chips, Samsung and SK Hynix, according to a company file.

An official at SoulBrain declined to comment on the report.

South Korea provided 44% of hydrogen fluoride from Japan in the first five months of the year, Korean industry data showed.

Japan produces about 70% of gas etching worldwide, according to Japanese media.

SoulBrain shares jumped up to 26.5% on Tuesday to a record high before closing 6.5%./

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