Driven by the rapid development of the semiconductor industry, the market size of epoxy plastic sealants continues to expand

Epoxy plastic sealing compound, also known as epoxy resin molding compound, refers to a powdery molding compound made of epoxy resin as the base resin and mixed with high-performance phenolic resin curing agent, silica powder filler and various additives. Epoxy plastic encapsulation compound is a type of thermosetting chemical material used for chip packaging. It plays an important role in semiconductor packaging due to its low cost and high reliability. It is currently used in automotive electronics, consumer electronics, integrated circuits, semiconductor devices, It has been widely used in national defense, military, aerospace and other fields.

With the current trend of the global semiconductor industry shifting to China, the scale of my country’s semiconductor chip market continues to expand. As a key material for packaging semiconductor chips, epoxy plastic encapsulation materials have continued to increase in market demand and expand in scale. The domestic semiconductor chip market size in 2021 will be approximately 1.1 trillion yuan, a year-on-year increase of 18.9%. In this context, according to the “Research Report on Market Monitoring and Future Development Prospects of China’s Epoxy Plastic Industry from 2022 to 2026” released by the Industrial Research Center Shows that the domestic market demand for epoxy plastic sealants has reached 147,000 tons in 2021; the market size has reached 7.86 billion yuan, a year-on-year increase of 16.7%.

From the perspective of raw material cost structure, silica powder is currently the most expensive category of epoxy plastic sealing materials, accounting for 70% of the cost. As one of the world’s largest producers of silica powder, my country’s silica powder production has shown continued growth. In 2021, domestic silica powder production will be approximately 214,000 tons, a year-on-year increase of 9.5%. In the future, with the continuous improvement of epoxy plastic sealing material production technology and the continuous expansion of raw material silica powder production capacity, the domestic epoxy plastic sealing material market is expected to maintain a sustained growth trend. It is expected that its market size will grow to 14.36 billion yuan by 2025.

At present, domestic epoxy plastic sealing material companies mainly include Huawei Electronics, Kehua New Materials, Huahai Chengke Electronics, Changxing Electronics, Feikai Materials, Chuangda New Materials, Kaihua Insulation Materials, Xintaihe Electronics, Hengyao Electronics, and Shengyuan There are many companies such as Da Technology. However, due to the late start of the domestic epoxy plastic sealing compound industry, local companies still have a certain gap compared with leading foreign companies such as Sumitomo, Panasonic, and Esti in terms of technology, scale, and experience. Domestic products are mainly concentrated in diodes, In low-end markets such as transistors, the level of localization in high-end markets is relatively low.

Industry analysts said that in recent years, driven by the rapid development of the domestic semiconductor and electronics industries, the market demand for epoxy plastic sealants has continued increase, thereby driving local enterprises to continuously improve their technology, and the industry to continuously upgrade in the direction of mid-to-high-end. At present, local companies account for more than 30% of the domestic epoxy plastic sealing compound market. In the future, as local companies continue to improve their technology and product research and development capabilities, the localization process of the domestic epoxy plastic sealing compound market is expected to continue to accelerate, and the industry development Broad prospects.