Six-inch silicon wafer demand rises

Semiconductor-grade silicon wafer makers, mainly GlobalWafers, Formosa Sumco Technology (FST) and Wafer Works, have seen demand for 8-inch and smaller models sharply rebound since mid-November 2020, according to industry sources.

Pure-play foundries including Globalfoundries, United Microelectronics (UMC) and Vanguard International Semiconductor (VIS) have raised their 8-inch foundry quotes by 10-15% in the fourth quarter, with the quotes set to rise by another 20-40% in 2021,

Taiwan-based silicon wafer manufacturers including GlobalWafers and Wafer Works have seen orders for 6-inch wafers ramp up and fill their factory capacities, according to industry sources.


Wafer Works has run its two 6-inch wafer plants in northern Taiwan at nearly full capacity utilization, while operations at its 6-inch plant in Shanghai will resume soon, the sources indicated. Wafer Works is relocating production lines at its Shanghai plant to new facilities to comply with local laws and regulations, which will complete soon.

Wafer Works‘ Shanghai plant is expected to come online as early as the first quarter of 2021, which will then help the company ease its tight supply, the sources said.

Wafer Works has disclosed subsidiary Wafer Works (Shanghai) will re-submit an application for its stocks to be listed on the science and technology innovation board (STAR) of China‘s Shanghai Stock Exchange (SSE) sometime in the first half of 2021. Wafer Works (Shanghai) had to withdraw the application it had submitted previously due to some additional materials and information required by relevant authorities.

Wafer Works reported consolidated revenue of NT$671 million (US$23.8 million) for November 2020, up 18.7% on year and 5.4% sequentially. Revenue totaled NT$6.76 billion for the first 11 months of this year, down 4.9% from the same period in 2019.