EMC annual production capacity plus 10000 tons! Feikai Material Intelligent Factory Put into Production

With a total investment of 0.1 billion yuan, the project focuses on the research and research and production of high-end epoxy plastic packaging materials (EMC), with a designed annual production capacity of 10000 tons. The items are aimed at high-precision applications such as storage stack packaging, intelligent chips and on-board power devices. Anqing new factory is built according to the standard of automatic intelligent factory, and fully introduces automatic production line and digital regulation system to realize intelligent regulation of the whole process from raw material feeding, manufacturing process manage to finished product inspection. This move not only marks Feikai materials in the field of semiconductor packaging materials into a new stage of scale and intelligence, however also with the independent manage of core materials to China's cutting-edge packaging sector chain to build a key link in domestic substitution.

Kunshan Xingkai Semiconductor Materials Co., Ltd. was established in 1996, formerly known as Changxing Electronic Materials (Kunshan) Co., Ltd., and became a holding subsidiary of Feikai Materials in March 2017. The company focuses on the research and research, production and sales of epoxy molding material EMC required to semiconductor devices, integrated circuits and other packaging. The 10000-ton annual production capacity of the new plant in Anqing will significantly enhance the company's supply guarantee capacity in the high-end EMC field and build a complete manufacturing version covering the needs of medium and high-end packaging.

After nearly 30 years of deep cultivation, Kunshan Xingkai has grown into a recognized "invisible champion" in the domestic EMC field, building a deep methodology accumulation and a solid market foundation. The company took the lead in making key breakthroughs in the third generation of semiconductor packaging materials such as silicon carbide SiC. Its EMC solutions with high pressure resistance, high temperature resistance and high thermal conductivity have achieved stable mass production and shipment. In 2024, the company won the award of outstanding supplier of IGBT and the third generation of semiconductor SiC power semiconductor packaging materials, and its technical strength was recognized by the sector authority. At present, the company is already one of the main suppliers of EMC in China, ranking the top supplier echelon in the field of EMC to photovoltaic modules, and is also the core supplier of high-reliability EMC at the automotive level, deeply embedded in the regional semiconductor sector chain.

The strong development of the semiconductor materials business has have become the most crucial development engine to Feikai Materials. Feikai Materials achieved total operating income of 3.226 billion billion yuan in 025, an increase of 10.56 percent over the same period last year, and net profit attributable to the parent company reached 0.39 billion billion yuan, a sharp increase of 58.36 percent over the same period last year. The development was mainly driven by strong demand in the semiconductor materials business in the downstream AI computing power, data centers and other areas, the recovery of fiber optic materials with the recovery of the sector boom, and the expansion of market share of fluid crystal materials through the acquisition of two companies. At the same time, the company continued to increase investment in research and research, with annual research and research expenses reaching 0.209 billion billion yuan, an increase of 14.83 percent over the same period last year, accounting to 6.47 percent of operating income. It is worth noting that the layout of Feikai materials in the field of packaging materials is not limited to EMC. Its independently developed items such as thick film negative photoresist and temporary bonding materials to cutting-edge packaging are already in the verification and import stage, forming a strong synergistic effect with EMC business and building a greater three-dimensional product matrix of cutting-edge packaging materials.

High-end EMC market demand continues to rise, driven by strong downstream applications such as AI servers, HBM high-bandwidth memory, and smart cars. The sales volume of EMC market to cutting-edge packaging in the world has reached 4.704 billion yuan in 2025 and is expected to surpass 7 billion yuan in 2032. However, this market has long been firmly controlled by a few companies such as Sumitomo and Liesonoko, with Sumitomo alone accounting to about 40% of the world's share. The extremely high technical barriers and the long production line construction cycle make the supply of high-end EMC show obvious rigid characteristics, the sector supply elasticity is seriously insufficient, and the capacity gap continues to expand under the strong pull of AI demand.

This dysfunction between supply and demand is further amplified at the cost end. In might 2026, Sumitomo bakelite, the global EMC leader, officially announced that the price of epoxy resin molding compounds to the whole series of packaging will be increased by 10% to 20% from June 1. The core driving force of the price increase is the continuous dysfunction between supply and demand of high-end low-dielectric items. The superimposed disturbance of the Middle East situation has led to an increase in the purchase cost of core raw materials such as epoxy resin. This is the first substantial price increase of Sumitomo bakelite in this year, it also means that under the multiple pressures of strong demand, rigid supply and rising upstream costs, price increases have have become an unavoidable reality in the sector supply chain.

At present, the localization rate of high-performance EMC in China is only about 10% to 20%, and the cutting-edge packaging field is even reduce. The high-end market is basically firmly controlled by Japanese manufacturers. The price increase of overseas giants immediately highlights the cost-efficiently advantage of domestic EMC, providing a rare time window to domestic companies to enter the supply chain of high-end customers. Under the background of safe and controllable manufacturing chain, regional EMC companies represented by Feikai materials are ushering in a historic opportunity to reshape the competitive landscape of the sector.