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July 31, 2014

Showa Denko to acquire high-purity chlorine business from Air Products

Mary Page Bailey

Showa Denko K.K. (SDK; Tokyo, Japan; www.sdk.co.jp) has decided to acquire a high-purity chlorine business in Taiwan, in order to strengthen its special-material gas business. Taiwan Showa Chemicals Manufacturing Co. (TSCM), a subsidiary of SDK, has come to a general agreement with Air Products San Fu Co., Ltd. (APSF), a subsidiary of Air Products and Chemicals Inc., to acquire APSF’s high-purity chlorine business including its production facility located in Kaohsiung, Taiwan, by transfer, setting the end of August 2014 as the current target date.
 
High-purity chlorine is a special-material gas used mainly as an etching gas in the manufacture of semiconductors and LCDs. Due to the continued trend toward miniaturization of electronic devices, demand for high-purity chlorine for this use is expected to remain stable. Moreover, the demand for high-purity chlorine used as an etching gas in the manufacture of LCDs is expected to increase in line with the expanding production of LCDs. In consequence, the annual market size of high-purity chlorine is expected to be about 2,000 metric tons (m.t.) in 2015.
 
The Showa Denko Group has a production facility for high-purity chlorine with production capacity of 1,000 m.t./yr in its Kawasaki Plant. By having additional high-purity chlorine production facility in Taiwan, SDK Group is ready to ensure further stable supply of high-purity chlorine to the growing market in East Asia including China and Taiwan.

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