Two major silicon wafers production facilities shut down in Japan, report
According to research firm, IHS iSuppli, two major facilities, which accounts a quarter of the global production of silicon wafers, have halted production as officials try to measure the damage caused by the devastating earthquake that hit the country this month.
IHS iSuppli reported on Monday that Shin-Etsu Chemical Co. Ltd. has stopped production at its Shirakawa facility and MEMC Electronic Materials Inc. has halted manufacturing at its Utsunomiya plant. The two units produce as much as 25 per cent of the silicon wafers used in making semiconductors.
The Shun-Etsu facility, which produces 300-mm wafers used mainly in the manufacturing of memory devices alone accounts for 20% of the world’s wafer production, while the MEMC plant accounts for 5%.
Shin-Etsu has confirmed that the plan has been closed as engineers are finding it difficult to inspect the facility for damages due to the aftershocks following the March 11 earthquake measuring 9 in the richter scale. “At present, it is still unclear how long it takes to restore such damaged facilities and equipments,” the company said in a statement.
It is not known till when the facilities will remain closed, but a longer halt could seriously affect the global supply chain and have a huge negative impact on the industry, according to the research firm.