LG Chem is moving in earnest to penetrate the semiconductor materials market. The company has begun to establish an overseas supply system for ultra-high-purity isopropyl alcohol (IPA), a semiconductor cleaning material.

LG Chem announced on the 14th that it recently signed a memorandum of understanding (MOU) with Chinese precision chemical materials company Jiangsu Changhua Microelectronics Materials (江化微, Jiangyin Jianghua Microelectronics Materials) for business cooperation in ultra-high-purity (High Purity) IPA for semiconductors. Jianghua Microelectronics Materials produces and refines high-purity chemical materials for semiconductor and display processes and supplies them to major local semiconductor companies.

Cleaning is one of the essential processes in semiconductor manufacturing. As semiconductor devices become more miniaturized at the nanometer level, even a tiny particle of dust can break a circuit or cause a short circuit, leading to defects. Cleaning can therefore be viewed as a core process to completely remove impurities and prevent product defects. In fact, cleaning is known to account for about 15–20% of the entire semiconductor process. IPA is also the main ingredient of alcohol swabs commonly used for disinfection in everyday life.

Ultra-high-purity (HP) IPA is an essential cleaning material that is repeatedly used throughout the front-end semiconductor manufacturing process. As it has a direct impact on semiconductor performance and yield, it is considered a high value-added material that is indispensable in advanced, ultra-fine semiconductor processes. The HP-IPA to be produced under this business cooperation will use LG Chem’s C3-IPA as a raw material, which has secured stable quality competitiveness based on a rigorous production and management system. At its Yeosu plant in South Jeolla Province, LG Chem produces 165,000 tons per year of high-purity, high-quality C3-IPA based on propylene (C3). The company is expanding supply to the global market, including North America and Asia, as well as to domestic semiconductor customers.

The core of this agreement is to establish a local supply system for HP-IPA for semiconductor cleaning by combining LG Chem’s C3-IPA production capabilities with Jianghua’s refining technology. Under this structure, LG Chem supplies high-purity, high-quality C3-IPA, and Jianghua refines it into HP-IPA for semiconductor cleaning.

LG Chem and Jianghua plan to cooperate on enhancing the quality competitiveness and commercialization of HP-IPA, targeting advanced semiconductor customers such as AI semiconductors and high-bandwidth memory (HBM). To this end, the two companies intend to carry out various collaborative activities, including mutual technology exchange, information sharing, and joint marketing.

Kim Sang-min, Executive Vice President and Head of LG Chem’s Petrochemicals Company, said, “With the localization of semiconductor supply chains, including materials and equipment, accelerating worldwide around AI semiconductors and advanced memory, demand for semiconductor cleaning materials is also expected to continue to grow,” adding, “Based on our differentiated quality competitiveness and stable supply capabilities, we will strengthen our supply base for ultra-high-purity raw materials for semiconductors and seek new growth opportunities in the global semiconductor materials market.”

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