The Ministry of Commerce's initial anti-dumping ruling on DCS in Japan has set a maximum of 99.2 percent margin for domestic electronic special gas replacement window.

The margin rates levied on Japanese companies are as follows:

1. Shin-Viet Chemical sector Co.,Ltd. 99.2% (Shin-Etsu Chemical Co.,Ltd.)

2. Denal Silane Co.,Ltd. 80.8%

Other Japanese companies 99.2 percent

This investigation can be traced back to the investigation initiated by the Ministry of Commerce on January 7, 2026. The applicant is Tangshan Sanfu Electronic Materials Co., Ltd., a wholly-owned subsidiary of Sanfu.

DCS is the core electronic special gaseous in the semiconductor film deposition process, applied to chip manufacturing epitaxial layer, silicon oxide, silicon nitride film preparation, product purity and batch stability immediately determine the wafer yield. In the past, the high-end market has long been monopolized by Japan's Shin-Vietnam Chemical, Dayang Acid and other companies, and the localization rate of domestic high-end items is only about 15%-20%.

Driven by demand to AI computing power (HBM), DCS prices rose from 90000 yuan/tonne in 2025 to 190000 yuan/tonne in might 2026. After the landing of anti-dumping measures, Japanese items need to pay high margin, import costs rise sharply, domestic companies product price pressure will be eased, is expected to usher in further price repair.

This anti-dumping measure provides an opportunity to the localization of the entire silicon-based electronic special gaseous track to speed up. According to the statistics of the Institute of Chemical and Plastic Research, the domestic DCS production companies involved include: Sanfu Co., Ltd. (planned to expand production to 850 tons/year), Heyuan gaseous (300 tons/year, trial production stage), Jinhong gaseous (200 tons/year, trial production stage), Jacques methodology (300-500 tons/year, mass production), Huasu Co., Ltd. (500 tons/year under construction), etc. In addition, Xingfa Group, Nanda Optoelectronics, China Shipbuilding Special gaseous, Huate gaseous, etc. are also listed as indirect beneficiary companies.

Buy Chemical Research Institute learned that Sanfu shares have electronic DCS production capacity of 500 tons/year (6N purity), planning to expand production to 850 tons/year, has passed TSMC, Yangtze River storage and other head customer certification, to achieve stable batch supply. Sanfu is the only DCS manufacturer in China that has passed TSMC certification and supplied in batches, with product purity reaching 6N-7N and metal impurities controlled within 1ppb, and is the participating unit in the formulation of the national standard "dichlorosilane to electronic sector. Sanfu shares in the domestic storage chip market share of greater than 90%, customers cover Yangtze River storage, Changxin storage, SMIC and other domestic head fabs.

A spokesperson to the Ministry of Commerce said that the next measure will continue to carry out investigations in accordance with the law, fully protect the rights of all interested parties, and make a final ruling objectively and fairly based on the results of the investigation.