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Sumitomo Chemical Strengthens Semiconductor Footprint via AUECC Deal

ZMC Absorbs American Semiconductor Silicon Solutions & Services Firm Pure Wafer

Sumitomo Chemical has signed a definitive agreement to acquire 100% of Asia Union Electronic Chemical Corporation (AUECC), a Taiwanese semiconductor process chemicals company, marking a strategic move to strengthen its global presence in the semiconductor materials sector. The transaction is subject to customary closing conditions, including regulatory approvals.

The acquisition will establish Sumitomo Chemical’s first manufacturing base in Taiwan and its second in the United States, complementing its existing Texas facility. The deal is aimed at accelerating the company’s expansion in the semiconductor process chemicals market, which is expected to grow steadily amid the proliferation of generative AI, the Internet of Things (IoT), and rising demand for data centers.

As semiconductor devices become more advanced and complex, the industry requires process chemicals with ultra-high purity levels at the parts-per-trillion (ppt) scale for critical cleaning and drying processes. Sumitomo Chemical has leveraged decades of technological expertise to provide high-quality products and a stable supply network to meet these stringent demands.

Founded in 1998, AUECC operates manufacturing sites in Kaohsiung, Taiwan, and Nevada, US, and is recognized for its robust product lineup, advanced quality management systems, and integrated supply solutions, including customized packaging and global logistics. The company has earned trust among top-tier semiconductor manufacturers in Taiwan and the United States, providing one-stop solutions that combine product reliability with supply flexibility.

Through this acquisition, Sumitomo Chemical will integrate AUECC’s sales and procurement networks, product portfolio, and flexible packaging capabilities to enhance its global supply network. The integration is expected to generate synergies, including increased production efficiency and expanded technological collaboration, further enabling the delivery of comprehensive solutions to customers worldwide.

The move aligns with Sumitomo Chemical Group’s strategy to position its semiconductor materials business as a core growth driver. The company has been actively investing in capital expansion, including the establishment of the Texas facility in 2022, and pursuing strategic acquisitions to anticipate future demand growth in semiconductor process chemicals.

By combining its technological strengths with AUECC’s operational capabilities, Sumitomo Chemical aims to maximize synergies while providing enhanced value to customers. The company has set a target to double its semiconductor process chemicals sales from fiscal year 2024 by FY2030.

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