As China continues its pursuit of self-reliance in the semiconductor sector, breakthroughs are increasingly emerging across the entire industrial chain, encompassing technology, equipment, materials, and wafer fabrication plants. The vision of a secure, independent, and controllable supply chain is drawing nearer. According to SEMI forecasts, 108 new wafer fabs are projected to be built globally by 2028, with 84 located in Asia. China alone accounts for 47 of these, representing over half of Asia's new capacity. Furthermore, China's share of global capacity for the mainstream 22 to 40 nanometer process nodes is expected to rise from 25% in 2024 to 42% by 2028. This downstream capacity expansion will consistently drive demand for consumable materials. China's monthly wafer capacity is anticipated to grow 14% year-over-year in 2025, reaching 10.1 million wafers, which constitutes one-third of the global total.
Semiconductor materials form the foundation of chip performance, with their purity and properties directly determining the upper limits of chip manufacturing processes. Presently, several domestic material companies have achieved breakthroughs in key categories such as silicon wafers, photoresists, and sputtering targets, with some products reaching world-class standards, thereby ending the long-standing monopolies held by Japanese, American, and European firms. This article highlights domestic semiconductor material companies that have broken foreign monopolies and possess uniquely competitive advantages within China.
1. **National Silicon Industry Group Co.,Ltd. (Silicon Wafers)** **Uniqueness:** The sole domestic enterprise capable of mass-producing 12-inch semiconductor silicon wafers. It is also the exclusive domestic manufacturer able to mass-produce 12-inch Silicon-On-Insulator (SOI) substrates. SOI substrates are crucial for silicon photonics chips and RF chips. Its 14nm logic chips have received certification from SMIC, breaking the long-term dominance of Japan's Shin-Etsu and SUMCO.
2. **Jiangsu Nata Opto-Electronic Material Co., Ltd. (High-End Photoresist)** **Uniqueness:** The only domestic company to achieve mass production of 28nm ArF dry photoresist. Its Ningbo facility, with a 500-ton annual capacity, is set for completion by the end of 2025. Its 14nm immersion ArF photoresist is currently undergoing customer validation. This directly challenges the monopoly of Japan's JSR and Tokyo Ohka Kogyo, providing critical support for domestic advanced chip manufacturing at 28nm and below.
3. **Konfoong Materials International Co.,Ltd. (Ultra-High Purity Sputtering Targets)** **Uniqueness:** The sole domestic firm integrated into TSMC's full-process target supply chain for 3nm, 5nm, and 7nm nodes. Its ultra-high purity tantalum targets, copper/copper alloy targets, and tungsten targets have all broken foreign monopolies, making it the exclusive domestic supplier. Its technology is globally top-tier, with bulk supply to leading foundries like TSMC and SMIC, challenging the long-held dominance of Japan's JX Nippon Mining & Metals and Honeywell.
4. **Grinm Advanced Materials Co.,Ltd. (Ultra-High Purity Sputtering Targets)** **Uniqueness:** The only domestic company achieving mass production of cobalt targets, positioning it as the world's second supplier after Japan's JX Nippon Mining & Metals. Its 12-inch cobalt target is the sole domestic product, filling a critical gap. These 12-inch high-purity cobalt targets are key materials for manufacturing ultra-large-scale integrated logic chips and DRAM memory chips, supplied to renowned domestic and international IC firms including SMIC and TSMC.
5. **Guangdong Huate Gas Co.,Ltd. (Electronic Specialty Gases)** **Uniqueness:** The only domestic lithography gas supplier with multiple rare gas mixtures certified by both ASML (Netherlands) and Gigaphoton (Japan). It can stably mass-produce high-end electronic gases like 6N-grade high-purity argon. Its capability to support 7nm/14nm advanced processes is established, with customers covering global top-tier foundries such as SMIC, TSMC, and Samsung, breaking the long-term monopoly of America's Air Products and Japan's Taiyo Nippon Sanso.
6. **Anji Microelectronics Technology(Shanghai)Co.,Ltd. (CMP Slurry)** **Uniqueness:** The sole domestic enterprise supplying 14nm/7nm high-end CMP slurry in bulk, breaking the monopoly of America's Cabot and Japan's JSR, and providing essential support for domestic advanced process chip manufacturing. Over the past three years, its global market share for CMP slurry has been approximately 8%, 11%, and 13% respectively, positioning it among the world's mainstream CMP slurry suppliers. It represents a core benchmark for import substitution in semiconductor materials, characterized by high technical barriers and irreplaceability.
7. **Dinglong (CMP Pads)** **Uniqueness:** The only domestic supplier with comprehensive mastery over the core R&D and manufacturing technologies for the entire CMP pad production process, breaking the long-term monopoly of America's Dow Chemical. Its domestic market share reached 70%-80% in 2025, with rising share in 28nm and above mature processes, establishing it as a core CMP pad supplier for domestic wafer fabs.
8. **Jiangsu Pacific Quartz Co.,Ltd. (High-Purity Quartz Products)** **Uniqueness:** The only domestic company mastering mass production technology for 6N-grade (99.9999% purity) synthetic quartz sand, ending the 40-year monopoly of America's Unimin. Only three companies globally can stably mass-produce semiconductor-grade high-purity quartz sand. Its products have entered leading fabs like Yangtze Memory Technologies and SMIC, providing critical support for domestic advanced process chip manufacturing.
9. **Sicc Co., Ltd. (Silicon Carbide (SiC) Substrates)** **Uniqueness:** The only domestic company shipping 8-inch SiC substrates in volume and the world's first to introduce a 12-inch SiC substrate. It ranks among the top three globally in market share for conductive SiC substrate materials, breaking the long-term dominance of America's Wolfspeed and Japan's II-VI.
10. **Jiangsu Yida Chemical Co.,Ltd. (Photoresist Core Solvent)** **Uniqueness:** The only domestic firm stably mass-producing G5-grade (99.999% purity) electronic-grade PM/PGMEA. This solvent constitutes 70%-80% of photoresist raw material costs. The company holds nearly half of the national capacity, supplying over 90% of domestic photoresist manufacturers. Its products are certified by SMIC and Jiangsu Nata, breaking the long-term monopoly of Japan's Mitsubishi Chemical and DIC.
11. **Shennan Circuits Co.,Ltd. (IC Substrates)** **Uniqueness:** The sole domestic enterprise capable of mass-producing high-end ABF (Ajinomoto Build-up Film) substrates, a core packaging material for AI servers and HBM (High Bandwidth Memory). It is the world's fifth-largest ABF substrate supplier with leading domestic market share. Certified by TSMC and NVIDIA, it challenges the long-term monopoly of Japan's Ibiden and Samsung Electro-Mechanics.
12. **Ningbo Kangqiang Electronics Co.,Ltd. (Lead Frames & Bonding Wires)** **Uniqueness:** The only domestic company mastering core technologies for both lead frames and bonding wires. Its lead frame production and sales have ranked first domestically for over a decade. It has deep partnerships with the top three domestic packaging and testing giants—JCET, Tongfu Microelectronics, and Tianshui Huatian Technology—serving high-end automotive electronics and AI chip packaging needs, breaking the long-term monopoly of Japan's Sumitomo Metal Mining and Nippon Steel.
Looking ahead, driven by waves of emerging technologies such as AI chips, HBM, advanced packaging, and third-generation semiconductors, semiconductor materials are no longer just a manufacturing foundation but have become a core variable determining the performance ceiling of chips and industrial security. As technological iteration accelerates alongside the push for domestic substitution, China's semiconductor materials industry is poised not only to secure the supply chain's foundation but also to potentially assume a leadership role in the global value chain. Achieving self-reliance is not an endpoint but a new starting point for the rise of China's "core" materials.
This information is compiled from publicly available sources. Please refer to official authoritative channels for verification. This content is for industry discussion and informational purposes only and does not constitute any form of investment advice, guidance, or promise. Market risks exist, and investment decisions should be based on rational, independent thinking.