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Silent Heroes: Materials Fueling India's Fab Growth
17 Jul
Summary
- Three Indian firms expand into semiconductor-grade products.
- Companies focus on high-purity chemicals and materials.
- Capacity expansions are underway to meet rising demand.
India's burgeoning semiconductor sector relies heavily on a crucial, often overlooked, supply chain of high-purity materials. Gujarat Fluorochemicals (GFL) is expanding its fluoropolymer portfolio, including PFA and FKM, essential for chip manufacturing due to their extreme temperature and chemical resistance. GFL is investing ₹472 crore in new electronic specialty chemicals and fluoropolymer capacity, anticipating full utilization of existing lines by FY27.
Navin Fluorine International is entering the market with ultra-high-purity chemicals, forming a technology partnership with Swiss firm Buss ChemTech. The company is investing ₹450 crore to build an Anhydrous Hydrofluoric Acid (AHF) plant in Dahej for Electronic Grade HF, targeting silicon wafer etching. Navin is also partnering with Chemours for hardware cooling fluids.
Stallion India Fluorochemicals is focusing on specialty gases, including liquid helium for semiconductor applications. With a planned investment in scaling its Khalapur and Mambattu facilities, Stallion aims to be operational by June and August 2026, respectively. This expansion is crucial for securing its entry into the high-value semiconductor gas market and a long-term partnership for helium sourcing.
These strategic expansions by GFL, Navin Fluorine, and Stallion India underscore a significant trend: Indian companies are moving up the semiconductor value chain. Their success hinges on securing customer approvals, executing capacity expansions efficiently, and commercializing new products to capitalize on the global chip manufacturing growth.
