San Fu Chemical: Semiconductor Chemical Material Share Rises; Vietnam Gas Plant to Start Production Next Year
San Fu Chemical Chairman Wu Xin-Hong stated that the panel chemical materials business has decreased due to customer plant closures, while the share of semiconductor process chemical materials has risen, with the two now accounting for similar revenue proportions. The first plant in Vietnam is at full capacity, and a second plant is under preparation, expected to start gas production in 2027 to supply local thermal management and footwear industries.
📋 Article Processing Timeline
- 📰 Published: June 12, 2026 at 16:49
- 🔍 Collected: June 12, 2026 at 17:00 (11 min after Published)
- 🤖 AI Analyzed: June 12, 2026 at 17:01 (1 min after Collected)
San Fu Chemical Chairman Wu Xin-Hong said on the 12th that as panel maker Innolux has been selling off plants and touch panel maker J-Display has closed its factory, the panel chemical materials business has shrunk significantly. In contrast, the proportion of semiconductor process chemical materials has been climbing, and the two now account for a similar share of revenue. Additionally, the first plant in Vietnam is operating at full capacity, and land preparation for the second plant is underway, with production expected to begin in 2027. The second plant will produce gases to supply local customers in the thermal management and footwear industries.
San Fu Chemical held its shareholders' meeting today. In an interview after the meeting, Chairman Wu pointed out that this year's performance is affected not only by the plant closures of J-Display and Innolux but also by the absence of revenue from a hospital hyperbaric oxygen chamber project that was booked last year. While operations in the second half of the year are expected to be better than the first half, if the engineering payment for a customer's developer recycling plant is received in June, it will boost first-half results. He hopes full-year performance will surpass last year's.
He explained that the company is transitioning from being primarily a supplier of panel process chemicals to a supplier of semiconductor process chemicals. However, well-known semiconductor manufacturers are reluctant to change existing suppliers, which is a bottleneck for business expansion. Therefore, in addition to focusing on recovering waste chemical materials from semiconductor fabs and reprocessing them for reuse by the same fabs, the company is also optimistic about Innolux's transformation into the semiconductor field with its fan-out panel-level packaging technology. Once Innolux expands its capacity, the demand for chemical materials is expected to grow.
San Fu Chemical stated that the Vietnam plant will produce nitrogen, oxygen, and argon gases, which can be used in semiconductor processes as well as by local manufacturers for shoe sole foaming and steelmaking. Additionally, the materials plant in Vietnam can supply process materials for the semiconductor, solar, and other electronics industries.
San Fu Chemical held its shareholders' meeting today. In an interview after the meeting, Chairman Wu pointed out that this year's performance is affected not only by the plant closures of J-Display and Innolux but also by the absence of revenue from a hospital hyperbaric oxygen chamber project that was booked last year. While operations in the second half of the year are expected to be better than the first half, if the engineering payment for a customer's developer recycling plant is received in June, it will boost first-half results. He hopes full-year performance will surpass last year's.
He explained that the company is transitioning from being primarily a supplier of panel process chemicals to a supplier of semiconductor process chemicals. However, well-known semiconductor manufacturers are reluctant to change existing suppliers, which is a bottleneck for business expansion. Therefore, in addition to focusing on recovering waste chemical materials from semiconductor fabs and reprocessing them for reuse by the same fabs, the company is also optimistic about Innolux's transformation into the semiconductor field with its fan-out panel-level packaging technology. Once Innolux expands its capacity, the demand for chemical materials is expected to grow.
San Fu Chemical stated that the Vietnam plant will produce nitrogen, oxygen, and argon gases, which can be used in semiconductor processes as well as by local manufacturers for shoe sole foaming and steelmaking. Additionally, the materials plant in Vietnam can supply process materials for the semiconductor, solar, and other electronics industries.
FAQ
What is the proportion of San Fu Chemical's semiconductor materials?
The company stated that the revenue share of semiconductor materials is now nearly equal to that of panel materials.
When will the second plant in Vietnam start production?
It is scheduled to start operations in 2027, and land preparation is currently underway.
What is San Fu Chemical's performance outlook for this year?
The second half is expected to improve over the first half, with a target to exceed last year's annual performance.