The foundry production capacity is fully loaded, not only the demand for silicon wafers is strong, but the production capacity of recycled wafers is also in short supply. The three major domestic industry players, Shengyangban (8028-TW), Xinyun (3583-TW), and Zhongsha (1560-TW) are all Said that this year’s new production capacity has been fully loaded, Sun Ban, Xinyun plans to expand production next year, China Sands has also entered the third-generation semiconductor field, providing customers with silicon carbide (SiC) processing business.
According to the industry, recycled wafers are important materials for fabs before entering mass production. They can be used to monitor process parameters and production environment, while reducing cost consumption. It is a key element to increase yield and reduce costs. Therefore, the new production capacity of each process is not disconnected. The demand for recycled wafers has also increased.
In addition, the semiconductor industry continues to advance in advanced manufacturing processes. As the number of mask layers continues to increase, the production process becomes more complicated. The demand for equipment testing at various sites such as the yellow light area and the metal film area increases, and the consumption of recycled wafers has increased significantly. , The unit sales price is also better than the past mature process, becoming the two major driving forces for the growth of the industry.
Sun Semi is currently fully loaded with both 8-inch and 12-inch recycled wafer production capacity. Among them, the 12-inch wafer has been expanded by 70,000 pieces at the end of last year. The production line is now fully opened with a monthly production capacity of 300,000 pieces, making it the second largest in the world. To meet customers’ orders for advanced manufacturing processes, it has purchased land in Taichung and stationed in the Zhongke Park to serve major customers nearby. With a new round of production capacity opened next year, it will challenge to become the global leader in recycled wafers.
Xin Yun also plans to expand the production of recycled wafers. The monthly production capacity has increased from 120,000 to 140,000 this year. However, due to the current capacity shortage, the BB value (order-to-shipment ratio) is greater than 1, so it is expected to expand again next year. 20,000 pieces, reaching 160,000 pieces, and the expansion rate in the past two years has reached more than 30%.
China Sands purchased new equipment at the same time to de-bottleneck its production capacity. Although it has increased its production capacity by 30,000 pieces at the Zhunan plant this year, with a monthly production capacity of 300,000 pieces, it is still facing a tight production capacity. Currently, it has also increased prices to customers. In addition, It also extends the polishing technology to the third generation of semiconductors, cutting into the silicon carbide reclaimed wafer business and diamond tools.
The market is optimistic. Major fabs are now actively building and expanding production. As a new batch of production capacity is officially put into production in 2023, demand for recycled wafers will only increase by then, and industry players are also optimistic about the growth momentum in the next few years.