Tokuyama to Expand Aluminum Nitride Granule Output by About 50%
Tokuyama to Expand Aluminum Nitride Granule Output by About 50%
Tokuyama Corporation will install new production equipment at its Center for Commercialization of Advanced Technology in Yanai City, Yamaguchi Prefecture, Japan, raising aluminum nitride granule output by about 50% from current levels. Commercial operation is scheduled to begin in February 2028. The project follows a 30% aluminum nitride powder capacity expansion announced September 10, 2026, and will create an integrated powder-to-granule production system to serve growing heat-dissipation demand from semiconductors and electronic components.
Added granule capacity from a major producer addresses rising heat-dissipation demand in semiconductors and electronics, and the powder-to-granule integration should strengthen Tokuyama's ability to supply customers steadily.
Key facts
| Companies | Tokuyama Corporation |
|---|---|
| Chemicals | Aluminum Nitride (AlN) Granules, Aluminum Nitride (AlN) Powder |
| Capacity | Aluminum nitride granule production capacity increased by approximately 50% from current level; powder capacity expanded by 30% (announced September 10, 2026) |
| Location | Center for Commercialization of Advanced Technology, Yanai City, Yamaguchi Prefecture, Japan |
| Timing | 2026-10-29, 2028-02 (scheduled commercial operation), 2026-09-10 (powder expansion announcement), 1985 (powder manufacturing began at Tokuyama Factory) |
| End uses | Semiconductors, Electronic components (heat dissipation) |
Market context
Aluminum nitride is a ceramic material prized for combining high thermal conductivity with electrical insulation. Its powder is typically shaped or processed into forms used in substrates, heat spreaders and other components that move heat away from sensitive electronics. Granules are an intermediate form that makes handling and downstream forming more consistent for manufacturers. Demand is driven mainly by semiconductors and electronic components, where power density keeps rising and designers need materials that dissipate heat without conducting electricity. Supply in this niche is concentrated among a small number of established producers, so capacity additions by one of them can shape availability and pricing for downstream fabricators. Expansion of both powder and granule output, and linking the two steps within one site, typically reduces reliance on outside intermediates and can make supply more predictable for customers qualifying materials over long product cycles.
Source: official release on tokuyama.co.jp. Summary and context written by Market Krystal.
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