Sumitomo Bakelite Co., Ltd., headquartered in Shinagawa-ku, Tokyo, and led by President and Representative Director Shinichi Kajiya, announced on October 9, 2026, that it will expand production capacity for encapsulation materials used in advanced semiconductor packages at its sites in Suzhou, China, and Singapore.

New production lines will be installed at both locations for SUMIKON™ EME mold underfill (MUF) materials and compression-molding granules.

Expansion of Production Capacity at Suzhou and Singapore Sites

The expansion at the Suzhou site will add lines within a new plant completed in 2024, with production scheduled to begin in fiscal 2030.

In Singapore, the new lines will be installed within the existing plant on Senoko South Road, with production slated to begin at the end of fiscal 2028.

Demand Driven by Generative AI and Communications Satellites

The company cited rapidly growing demand for advanced semiconductors used in applications such as generative AI and communications satellites, particularly in China and Southeast Asia. It also noted that semiconductor packages are becoming increasingly dense, thin, and large.

Sumitomo Bakelite said its MUF materials provide excellent filling performance in microscopic gaps along with low-warpage characteristics, and by filling solder joints and encapsulating the entire package in a single molding process, they deliver both high reliability and manufacturing efficiency.

Its compression-molding granules likewise offer excellent filling performance in narrow gaps. By optimally controlling filler size, resin viscosity, and particle-size distribution, the granules enable uniform molding and low warpage even for large panels, improving productivity in advanced semiconductor manufacturing.

The company said it aims to leverage the strengths of these products and technologies to respond promptly and reliably to growing demand.

Capacity to Double for MUF Materials, Triple for Granules

Following the expansion, production capacity for MUF materials is expected to approximately double, while capacity for compression-molding granules is expected to approximately triple, compared with current levels.

The expansion will also be reinforced by a corporate transaction. Through the planned acquisition of Kyocera Corporation's chemical business at the end of October, the Sumitomo Bakelite Group will add Kyocera's production capacity for MUF materials and compression-molding granules.

Together, the company said, these initiatives will further strengthen the Group's supply capabilities in major advanced semiconductor manufacturing regions, including Japan, China, and Southeast Asia.

Goal of Capturing Growing Demand and Expanding Market Share

Through the production capacity investments and the planned business acquisition, the Group intends to strengthen its global supply system for advanced semiconductor encapsulation materials.

Sumitomo Bakelite said that by reliably capturing growing demand, it aims to drive business growth and expand its market share.

The Two Manufacturing Sites

Sumitomo Bakelite (Suzhou) Co., Ltd. is located in Suzhou, Jiangsu, China. Established in 1997, the site covers approximately 60,000 square meters and produces epoxy molding compounds for semiconductor encapsulation and die bonding paste.

Sumitomo Bakelite Singapore Pte. Ltd., located on Senoko South Road in Singapore, was established in 1982 and occupies approximately 22,500 square meters. Its main products are likewise epoxy molding compounds for semiconductor encapsulation and die bonding paste.

The project falls under the company's IT Materials Division. Inquiries regarding the announcement are handled by the Information & Telecommunication Materials Division of Sumitomo Bakelite Co., Ltd.

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