Dowa Electronics Materials Plans 3B Yen Capex in F2008

Fumitoshi Sugiyama, president of Dowa Electronics Materials which is an operating company of Dowa Holdings to supply electronic materials, explained the subsidiary plans capital expenditure of approximately 3 billion yen in fiscal 2008 starting April mainly for nitride semiconductors and metal powders. Mr. Sugiyama said the subsidiary would expand output capacity of metal powders in fiscal 2008, which carry toners of copy machines and printers, to gain 50% market share, while the current capacity is 300 tonnes per month and the recent production is 200 tonnes per month. The demand is strong though the firm doubled the capacity in fiscal 2006.Mr. Sugiyama suggested Dowa Electronics Materials advances development of nanometer-level-diameter silver powder and spread-type indium-tin-oxide (ITO). Samples of nanometer-size silver powder are already tested by the users for auxiliary electrode of organic light emitting displays. The firm examines the sales in several forms such as powder, paste and ink, he said. He explained ITO paste is advantageous in lower costs than ITO sputtering target to produce electrode of liquid crystal display.He also referred to development of catalytic materials for diesel engines at Okayama plant in Okayama Prefecture, Japan. The firm develops cerium based and bismuth based oxide materials which costs lower than platinum and aims the commercialization after 5 years.