Toho Titanium will expand the output of high purity titanium, which is used for titanium target material of semiconductor, by more than 50% in fiscal 2007 starting April 2007 from current 150-160 tonnes per year. The firm tries to meet higher demand from sputtering target materials makers under surging demand for semiconductor wafer. Toho Titanium expects the users accept 20-30% price hike as the firm requested. The firm expands the high profitability high purity titanium though the titanium output for airplane and industrial materials could decrease. The firm produces annual 15,000 tonnes of sponge titanium and 9,000 tonnes of titanium ingot at Chigasaki plant while the firm produces high purity titanium ingot with more than 99.99% purity for semiconductor wiring. The firm produces the high purity products at annual 150-160 tonnes, which increased by 20% since 2005 to meet growing semiconductor market from 120-130 tonnes in years ago. The firm decided the more than 50% expansion when the semiconductor market is expected to keep expanding. The firm requested 20-30% of price hike for target materials makers to secure profit when the titanium output for airplane and industrial materials could decrease. The target materials makers are expected to accept the higher price.
Japan Steel Scrap Composite Prices (Sangyo Press)
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