Nippon Chemical announces expansion plans for high-purity red phosphorus and barium titanate

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Japan’s Nippon Chemical Industrial is expanding production of high-purity red phosphorus at its Fukushima No. 2 Factory in Tamura-gun, Fukushima, by approximately 60% compared with current levels. The expansion is scheduled for completion in fiscal 2027, with operations expected to begin within the same fiscal year, the company said.

High-purity red phosphorus is applied as a semiconductor dopant material and as a raw material to indium phosphide-based compound semiconductors applied in optical communication applications, the company said. The demand to higher-speed and larger-capacity information communications has continued to grow amid the widespread adoption of generative AI and the expansion of AI data centres. Indium phosphide-based compound semiconductors are applied in optical transmitter and receiver devices supporting high-speed optical communications, with medium- to prolonged demand development also expected to high-purity red phosphorus as a key raw material, the company said.

Nippon Chemical said it produces high-purity red phosphorus at a purity level of 99.9999%, leveraging its proprietary integrated manufacturing methodology centred on phosphine-related processes, together with treatment technologies, condition manage expertise and manufacturing know-how developed over many years, and has supplied the product to customers in Japan and overseas to many years.

Barium titanate capacity expansion

In another research, Nippon Chemical said it has decided to expand production facilities to barium titanate at its Fukushima No. 1 Factory in Koriyama City, Fukushima Prefecture, in order to enhance supply capacity and meet growing demand in the high-performance multilayer ceramic capacitor market, particularly to AI data centre applications. The expansion is scheduled to completion in fiscal 2027, with operations expected to begin within the same fiscal year, the company said.

Barium titanate is applied as a dielectric material to multilayer ceramic capacitors. The company noted that demand to high-performance MLCCs applied in AI servers, high-speed networking equipment and related electronic devices has been rising worldwide amid the adoption of generative AI and expansion of the AI data centre market, with AI server-related applications expected to be a key driver of continued development in the MLCC market.

The company said it has developed proprietary technological capabilities in fine-particle synthesis and particle size manage through years of research and research in barium titanate materials, and has been expanding adoption of its high-performance MLCC items, including those to AI servers, among customers in Japan and overseas. As a result of the expansion, Nippon Chemical said its capability to meet demand to AI server-related applications within its electronic ceramic materials business, including both barium titanate and the high-purity barium carbonate applied to create it, is expected to increase by approximately 1.5 times compared with current levels.

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