Wedoany.com Report-Nov. 21, Sumitomo Chemical Co. (Tokyo, Japan) has signed a definitive agreement to acquire full ownership of Asia Union Electronic Chemical Corporation (AUECC), a Taiwan-based manufacturer of semiconductor process chemicals. The transaction remains subject to standard regulatory approvals and closing conditions.

The acquisition will give Sumitomo Chemical its first production facility for semiconductor process chemicals in Taiwan and a second site in the United States, complementing its existing plant in Texas. The move significantly expands the company’s global manufacturing network for these specialized materials.

Growing demand for advanced semiconductors—driven by widespread adoption of IoT devices, generative artificial intelligence, and expanding data-center infrastructure—continues to increase requirements for ultra-high-purity process chemicals used in cleaning and drying stages during chip production.

Founded in 1998, AUECC operates manufacturing facilities in Kaohsiung, Taiwan, and Nevada, United States. The company supplies a comprehensive range of high-purity chemicals, supported by advanced quality-control systems, customized packaging options, and integrated global logistics services. It has established strong relationships with leading semiconductor producers in both Taiwan and the United States.

By integrating AUECC’s established sales channels, broad product portfolio, and flexible delivery capabilities, Sumitomo Chemical will strengthen its worldwide supply network and enhance its ability to provide complete solutions to customers across major semiconductor markets.

The combination of technological expertise from both organizations is expected to generate substantial operational synergies, including improved production efficiency at AUECC facilities, while delivering higher value to end users.

Sumitomo Chemical regards its semiconductor materials segment as a key growth area. The company has been actively investing in capacity expansion—including the 2022 opening of its Texas facility—and pursuing strategic acquisitions to capture rising demand. This transaction supports the group’s goal of doubling fiscal 2024 sales in the semiconductor process chemicals business by fiscal 2030.

Once completed, the acquisition will position Sumitomo Chemical as a more comprehensive supplier in the global semiconductor materials supply chain, with enhanced manufacturing presence in two of the world’s most important semiconductor production regions.