Tokuyama Expands Silicon Production into Malaysia

Tokuyama Corporation, headquartered in Tokyo, is making a significant move into the global semiconductor market. The company has recently established a joint venture, OTSM, in Malaysia, signaling a major strategic expansion for its polycrystalline silicon business. This new entity will focus on producing and selling polysilicon, a critical material for the semiconductor industry.

The planned facility will be built on an idle site owned by OCI within the Samajaru Industrial Park in Sarawak. With an investment of $435 million, the plant is slated to begin production of semi-finished polysilicon for semiconductors by 2029. The initial production capacity is projected to be 8,000 tons per year, with plans to increase this to 10,000 tons annually in the future.

This initiative underscores Tokuyama's commitment to strengthening its presence in the semiconductor supply chain and leveraging strategic partnerships to meet growing global demand. The establishment of OTSM in Malaysia positions the company to tap into a key market and contribute to the region's burgeoning tech industry.