Mitsubishi Materials Invests 40B Yen for Electronic Materials

Mitsubishi Materials strengthens the electronic materials business with capital expenditure of total 40 billion yen during fiscal 2007-2009 ending March 2010. The capex increases to 2.3 times compared with previous 3 years for fiscal 2004-2006. The firm will expand output capacity of silicon products and global sales of other electronic materials for niche markets such as sputtering target materials.Mitsubishi Materials currently holds polycrystalline silicon output capacity of total 3,150 tonnes per annum at Yokkaichi plant, Japan and Mitsubishi Polycrystalline Silicon America Corp. in USA. The firm originally planned to expand the capacity to 3,500 tonnes per annum in fiscal 2009 by productivity improvement at these plants. However, polycrystalline silicon supply is globally tightening due to strong demand for semiconductors and solar cells. Then the firm examines additional capacity expansion by approximately 1,000 tonnes per annum.Mitsubishi Materials focuses 32 billion yen capex into polycrystalline silicon and other silicon related products during fiscal 2007-2009. For polycrystalline silicon, the firm invests 18 billion yen in advance including technology development for the additional capacity expansion by 1,000 tonnes. The firm supplies polycrystalline silicon mainly for semiconductors.The firm plans to double output capacity of columnar crystal silicon which is mainly used for solar cells. Solar cell market is rapidly growing at 30% per annum. The firm also expands output capacity of silicon fabricated products by 50%. The firm aims to increase annual sales of silicon fabricated products to 10 billion yen in fiscal 2009 from estimated 9 billion yen in fiscal 2007.Mitsubishi Materials invests total 8 billion yen during fiscal 2007-2009 for other electronic materials those which hold top share in global niche markets such as sputtering target materials, semiconductor packaging materials, electromagnetic absorption materials and sol-gel liquid for dielectric thin film forming.