Showa Denko renames and restructures, extends Infineon SiC deal

Business news |
By Nick Flaherty

Resonac (formerly Showa Denko) in Japan has extended its deal for silicon carbide (SiC) wafers with Infineon Technologies as it restructures and renames.

Resonac was formed from the merger of Showa Denso and Showa Denko Materials (SDMC, formerly Hitachi Chemical) on 1st January 2023. This created Resonac Holdings and a manufacturing company called Resonac, both run by current CEO Hidehito Takahashi.

“The birth of Resonac is its second foundation. We will reform the Group by raising talent who can take positive actions autonomously and creatively,” said Takahashi.

The business has annual sales of semiconductor and electronic materials of  ¥400bn  ($3bn, €3bn) as part of the group’s annual net sales of ¥1.4 trillion ($10bn, €10bn).

200mm SiC wafer deal

The new multi-year agreement with Infineon expands the existing deal signed in 2021 for 150mm SiC wafers and is part of Infineon’s plans to expanding its SiC manufacturing capacity to reach 30 percent of the market by the end of the decade.

Infineon’s SiC manufacturing capacity is about to increase tenfold by 2027. A new plant in Kulim is scheduled to start production in 2024 and the company already provides SiC semiconductors to more than 3,600 customers worldwide.

While the initial phase focuses on 150mm (6in) SiC wafers, Resonac will also support Infineon’s transition to 200mm (8in) wafers in later years. Infineon also has a deal with Coherent (formerly II-VI) for 200mm SiC wafers and wafer supply deals with onsemi and Cree.

As part of the cooperation, Infineon will provide Resonac with intellectual property relating to SiC material technologies. Infineon acquired materials firm Silectra in 2018 with this expertise.

”The demand for SiC is growing rapidly and we are preparing for this development with a significant expansion of our manufacturing capacities,” said Angelique van der Burg, Chief Procurement Officer at Infineon. “We are pleased to deepen our collaboration with Resonac and strengthen the partnership between our two companies.”

“The business opportunities in the area of renewable energy generation and storage, electromobility and infrastructure are enormous for the years to come. Infineon is doubling down on its investments into SiC technology and product portfolio, to proliferate the most comprehensive product offering to its customers. We are very happy that our partnership with Resonac will strongly support our market-leading position,” said Peter Wawer, President of Infineon’s Industrial Power Control division.;



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