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Japan’s Sumitomo Bakelite expands China chip packaging materials output amid AI boom

Japanese semiconductor materials giant Sumitomo Bakelite plans to expand production of advanced chip packaging materials in China and Singapore, marking the second such announcement for its Chinese operations in less than four months as artificial intelligence drives demand for more sophisticated semiconductors. The Tokyo-based company said on Friday that it would add production lines for mould…

Japan’s Sumitomo Bakelite expands China chip packaging materials output amid AI boom

Japanese semiconductor materials giant Sumitomo Bakelite plans to expand production of advanced chip packaging materials in China and Singapore, driven by the growing demand for more sophisticated semiconductors in the AI boom. The company will add production lines for mould underfill materials and compression-moulding granules at its facilities in Suzhou, China, and Singapore, expected to roughly double its production capacity for MUF materials and triple that for compression-moulding granules.

This expansion underscores the increasing importance of advanced packaging materials in the semiconductor supply chain, as demand for powerful AI chips with complex packaging structures continues to grow rapidly in China and Southeast Asia.

Brief written by urgent.news from SCMP Business's own syndicated text. Machine-written — may contain errors; check the original before relying on it.

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