Japan restricts exports to South Korea[SMT Exhibition News]

03 Jul 2019

According to the Kyodo News Agency, the Ministry of Economy, Trade and Industry announced on July 1 that it will strengthen export controls for South Korea for the three materials needed for the SMT Exhibition manufacturing process of semiconductors for smartphones and televisions. The discussion in the department that the trust relationship between Japan and South Korea was obviously damaged."

The outside world believes that Japan suddenly imposed "trade sanctions" on South Korea. The real reason may be to retaliate against South Korea’s constant reimbursement to Japan for wartime workers’ compensation. However, some insiders also believe that Japan is deliberately suppressing the SMT Exhibition panel and storage industry in South Korea.

For Japan’s sudden attack, South Korea’s Minister of Industry and Commerce Resources, Cheng Yunmo, said today that South Korea will respond to Japan’s restrictions on exports to South Korea, including resorting to the SMT Exhibition WTO.

Samsung / SK Hynix / LG or is greatly affected

According to the new regulations, Japan will change its export SMT Exhibition management scope to Korea, and will conduct export inspections on specific projects from July 4, and require separate application for export licenses. This means that for a specific product, every contract that a Japanese supplier sells to a Korean customer needs to apply for approval from the Korean SMT Exhibition government.

Even if the final contract is approved, the new regulations will inevitably extend Japan’s export process to South Korea. According to the Korean media assessment, the process of applying for a product export SMT Exhibition license separately takes about 90 days.

According to data released by the Ministry of Economy, Trade and Industry, the materials that will strengthen export control to Korea are mainly: high-purity hydrogen fluoride required for "cleaning" in semiconductor manufacturing processes, and sensitizer "light" coated on semiconductor substrates. "Glued", fluorinated polyimide used in the manufacture of TV and smartphone display panels, these three materials are the key materials required in the manufacturing process of SMT Exhibition display panels and semiconductor chips.

According to the data, Japan accounts for 90% of the total production of fluoropolyimide and photo-resistance in the world, and 70% of the hydrogen fluoride in global SMT Exhibition semiconductor companies needs to be imported from Japan.

Obviously, the "export restrictions" for South Korea may have a very large impact on the display panels and SMT Exhibition semiconductor chips of Korean technology giants such as Samsung Electronics, SK Hynix and LG Electronics. After all, Japan has a very high global market share in these SMT Exhibition materials, and even if Korean manufacturers can obtain supplies from suppliers in other countries, it may be difficult to meet their own demand. What's more, on some high-standard materials, it may even be difficult to find a replacement in a short time.

However, similarly, the export business of related suppliers in Japan will also be greatly affected. After all, Korean manufacturers have much higher demand for these SMT Exhibition materials than other countries.

Japan: Once the global semiconductor leader

As we all know, South Korea is a well-deserved leader in the fields of display panels and memory chips, and it has also driven the development of the Korean smartphone and TV industry. In contrast, Japan next to it seems to be a lot less. However, more than 20 years ago, Japan was the world's largest semiconductor market.

According to a global SMT Exhibition semiconductor industry statistics report released by IC Insights, in 2017, Japan's IC market share (excluding Foundry) was only 7%. But in 1990, this figure was as high as 90%.

The glory of the former Japanese SMT Exhibition semiconductor industry is evident from the following sets of data:

In 1986, Japan's semiconductor products accounted for 45% of the world's SMT Exhibition semiconductor production, which was the world's largest semiconductor producer;

In 1989, Japanese companies accounted for 53% of the world's memory chip market, while the United States only accounted for 37%;

In 1990, among the top 10 semiconductor companies in the world, Japan accounted for six. NEC, Toshiba and Hitachi ranked among the top three SMT Exhibition semiconductor companies. Intel ranked fourth in the world, and Samsung has not yet entered the top 10.

However, since 1990, Japan’s SMT Exhibition semiconductor market influence and share have begun to decline dramatically.

In the past two decades, Japan has been a very important semiconductor supplier, including NEC, Hitachi, Mitsubishi, etc., some have divested the SMT Exhibition semiconductor business, some merged and integrated, after some shuffle, These former semiconductor giants are now not major suppliers of semiconductors worldwide.

Leading Exhibitors

electronic equipment China
Recommended Exhibition
China PCB show
SMT Exhibition
Join and Follow Us
Exhibition Hours
Day Time
Wednesday, August 26 10:00-17:00
Thursday, August 27 09:30-17:00
Friday,August 28 09:30-16:30
Visitor Hotline
International Callers:86-21-2231-7105
From within China:400-650-5611

We use cookies to operate this website and to improve its usability. Full details of what cookies are, why we use them and how you can manage them can be found by reading our Privacy & Cookies page. Please note that by using this site you are consenting to the use of cookies.