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Tokuyama: Aluminum Nitride Heat Dissipation Material Timeline

Yomiuri Shimbun Japan
Overview
Tokuyama is expanding its production capacity for semiconductor heat dissipation materials by 50% with a new facility in Yanai City. The investment targets the production of aluminum nitride granules to meet rising demand for high-performance semiconductors, with operations scheduled to begin in February 2028.
In Depth

Key Findings

Tokuyama has announced the construction of a new production facility for semiconductor-grade heat dissipation materials at its site in Yanai City, Yamaguchi Prefecture. The company intends to increase its total production capacity by 50% across its various sites to address the growing demand driven by the increasing performance of semiconductors. The facility is targeted to begin commercial operations in February 2028.

Technical Details

The new investment, valued at several billion yen, focuses specifically on the production of aluminum nitride granules. These granules will be produced at the “Advanced Technology Commercialization Center” in Yanai City. The resulting materials are designed to ensure the stable operation of semiconductor manufacturing equipment by providing efficient heat dissipation.

Background & Context

Tokuyama currently holds the top global market share for aluminum nitride powder, which serves as the raw material for the granules. To create a fully integrated production system, the company previously announced in September the installation of new aluminum nitride powder production equipment at the same Advanced Technology Commercialization Center. This latest move to add granule production completes the internal supply chain from powder to granules.

Financial Performance

Concurrent with the facility announcement, Tokuyama revised its consolidated earnings forecast for the fiscal year ending March 2027. The company increased its projected final profit by 20.5 billion yen compared to the July estimate, bringing the total to 46.5 billion yen. This upward revision is attributed to the gain from the sale of its domestic cement sales business to Taiheiyo Cement. The projected net sales remain unchanged at 392 billion yen.

Source: https://www.yomiuri.co.jp/local/kyushu/20261030-GYS1T00005/

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