Chemical
Tokuyama okays second high-purity IPA plant to boost semiconductor supply chain capacity
The company is positioning the expansion as a response to growing customer demands for higher quality standards and more stable supply chains in semiconductor production
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By ICN Bureau | May 31, 2026
Tokuyama Corporation has approved a major expansion of its semiconductor materials business, greenlighting the construction of a second high-purity isopropyl alcohol (IPA) plant at its joint venture Formosa Tokuyama Advanced Chemicals Co (FTAC).
The decision was made at a Board of Directors meeting held today, signaling a clear push to scale up capacity in response to rising demand from the electronics industry.
The company and Formosa Plastics Corporation established FTAC in October 2020 to produce and sell high-purity IPA in Taiwan. Since then, the venture has steadily advanced its operations as semiconductor manufacturing becomes increasingly complex and multilayered.
“Tokuyama Corporation resolved at a meeting of its Board of Directors held today to construct a second plant for high-purity isopropyl alcohol for electronic manufacturing (hereinafter referred to as "high-purity IPA") at Formosa Tokuyama Advanced Chemicals Co., Ltd. (hereinafter referred to as "FTAC").”
The company is positioning the expansion as a response to growing customer demands for higher quality standards and more stable supply chains in semiconductor production.
“As semiconductor manufacturing processes become increasingly sophisticated and multilayering, calls by customers for improvements in the quality of high-purity IPA and stable supply are anticipated to expand.”
Tokuyama said the new plant will build on its core strengths in proprietary manufacturing processes, analytical capabilities, and strict quality control systems. The goal is to reinforce its ability to deliver consistent supply while expanding technical support to customers.
“By expanding production capacity through the construction of the second plant, the Tokuyama Group will leverage the three strengths of its high-purity IPA business, namely "proprietary manufacturing processes," "high analysis capabilities," and "strict quality control know-how," to further strengthen its ability to ensure stable supply and provide technical services to customers, thereby further enhancing its standing in the market.”
