HF (hydrofluoric acid) and IPA (isopropyl alcohol)—two major semiconductor materials—have both increased in price; a list of related beneficiary stocks

1. Do-Fluoride Co., Ltd. (002407) Core rationale: Largest domestic producer of G5-grade electronic hydrofluoric acid, with 40,000 tons of high-end capacity. Its products have been certified by TSMC, Samsung, Hua Hong Semiconductor, and ChangXin Memory Technologies; long-term supply contracts are abundant. With self-sufficient fluorspar and fluorine chemical raw materials, cost-driven price hikes can be smoothly passed on—making it the most direct beneficiary of this round of price increases. 2. Zhongju Chemical (688549) Core rationale: A platform under Juhua Co., Ltd., with participation from China’s National Integrated Circuit Industry Investment Fund. Its G5-grade hydrofluoric acid has passed certification for 12-inch advanced process nodes and supplies Yangtze Memory Technologies, SK Hynix, and SMIC. It offers a full suite of wet electronic chemicals and exhibits extremely strong domestic substitution potential. 3. Sanmei Co., Ltd. (603379) Core rationale: A leading fluorine chemical enterprise, with 52,000 tons of electronic-grade hydrofluoric acid capacity—including 18,000 tons at G5 grade. It holds equity in Sentian New Materials (a Japanese wet chemical technology partner), and enjoys self-sufficient fluorspar feedstock and clear cost advantages. Its products possess pricing flexibility heading into Q3. 4. Binhua Group (601678) Core rationale: Its G5-grade hydrofluoric acid meets the world’s highest international standards. Current capacity stands at 6,000 tons, expanding to 23,000 tons upon completion of its new project. It has secured supplier certification from Samsung, and its ultra-high-purity product specifications meet requirements for 2 nm advanced process nodes. 5. Jianghuawei (603078) Core rationale: A veteran wet electronic chemicals enterprise; mass-production capable of G5-grade hydrofluoric acid. Its products serve three major application areas—wafer fabrication, packaging & testing, and display panels—and it is a regular supplier to multiple domestic memory chipmakers. 6. Jingrui Electronic Materials (300655) Core rationale: Offers comprehensive coverage across all categories of wet electronic chemicals. Its electronic-grade hydrofluoric acid is complemented by high-purity hydrogen peroxide and various high-purity acids and alkalis. It has entered mass production lines at ChangXin and SMIC, enjoys high customer stickiness, and benefits from the current wafer-fab consumables price-up cycle. II. Electronic-grade Isopropyl Alcohol (IPA)—a semiconductor photolithography cleaning solvent—has also risen in price, with Formosa Plastics and Shengyi simultaneously raising prices. 1. Xilong Science (002584) Core rationale: One of only a few domestic enterprises mass-producing C8-grade ultra-clean, ultra-high-purity electronic IPA. Its products are certified by SMIC and Yangtze Memory Technologies, compatible with cleaning processes for 28 nm and 14 nm advanced nodes. It also partners with LG Chem as its domestic supplier of premium IPA—highlighting the scarcity of high-end capacity.

Extremely valuable! Wet electronic chemicals—the 'lifeblood' of chips—are now firmly in Chinese hands

Today, I took the opportunity to map out the entire wet electronic chemicals sector. Though the name sounds obscure, it’s critically important: roughly half of a chip’s yield hinges on this material—if wafers aren’t cleaned properly, subsequent photolithography and etching steps become futile. I’ve categorized it myself into three layers: 'General-Purpose → Functional → Advanced Packaging.' Wet electronic chemicals are key materials used in chip and display panel manufacturing for cleaning, etching, development, and other processes; their purity directly determines chip yield. Below is an industry-chain-based classification: I. General-Purpose Wet Electronic Chemicals The most heavily consumed 'basic chemical reagents' in chip manufacturing—e.g., sulfuric acid, hydrogen peroxide, phosphoric acid, and hydrofluoric acid—used to remove impurities and particles from wafer surfaces. Representative enterprises: · Xingfu Electronics: Leading producer of electronic-grade phosphoric acid · Zhongju Chemical: Leading producer of electronic-grade hydrofluoric acid and sulfuric acid · Jianghuawei: Representative enterprise for ultra-clean, ultra-high-purity reagents (G5-grade products) · Jingrui Electronic Materials: Representative enterprise for wet electronic chemicals—including hydrogen peroxide and ammonium hydroxide · Shanghai New Sun: Representative enterprise for electroplating solutions and cleaning agents · Danor: Representative enterprise for ultra-pure isopropyl alcohol and ultra-pure ammonium hydroxide II. Functional Wet Electronic Chemicals 'Custom-formulated' solutions tailored for specific process steps—e.g., etchants for patterning circuits, photoresist strippers for removing photoresist, and developers for development processes.

Jianghua Micro and LG Chem Partner to Enter China's Semiconductor Cleaning Agent Market

Sep 15, 2026

LG Chem and Jianghua Micro signed an MOU to jointly develop high-purity isopropyl alcohol (HP-IPA) for China's semiconductor cleaning market. LG will supply C3-IPA raw materials to establish a localized supply system.

ccin

2026-09-15

Jianghua Micro and LG Chem Partner to Enter China's Semiconductor Cleaning Agent Market

Jianghua Micro and LG Chem Partner to Enter China's Semiconductor Cleaning Agent Market

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