OCI, which was spun off from OCI Holdings this year, aims to develop the next generation of silicon anode by focusing on semiconductors and secondary battery materials.

The namesake mid-sized South Korean chemical company launched a structural alignment in May, splitting it into OCI Holdings and a new legal entity named OCI.

While OCI Holdings oversees areas such as solar modules, energy, and biotechnology, OCI has a focus towards semiconductors and battery materials, core sectors where Korea assumes global leadership. OCI’s flagship product in the semiconductor sector is polysilicon, used in wafer production, with the company supplying chip giants like Samsung Electronics and SK hynix. OCI also plays a crucial role in semiconductor manufacturing by producing essential gases such as hydrogen peroxide and phosphine.

Following the corporate overhaul, Kim Teak-joung, who assumed the position of vice chairman at OCI right after the spinoff, is set to steer the company towards becoming a leader in the semiconductor and battery materials industry.

The newly established business has ambitious plans to significantly increase its revenue from the semiconductor materials sector, aiming for over 60 percent of total sales, Kim told Maeil Business Newspaper in a recent interview.

To achieve this goal, OCI has partnered with Japan’s Tokuyama, one of the world’s top three polysilicon manufacturers, to establish a joint venture for semiconductor-grade polysilicon production in Malaysia.

“Since OCI acquired Tokuyama’s Malaysian polysilicon factory in 2017, annual polysilicon production increased from 20,000 tons to 35,000 tons, earning us Tokuyama’s full trust,” Kim said.

With the establishment of the new joint venture, OCI and Tokuyama plan to expand their existing Malaysian facility to jointly produce semiconductor-grade polysilicon.

One of OCI’s distinguishing strategies is its focus on second-generation silicon anode materials, differentiating itself from traditional battery electrode materials.

OCI plans to produce monosilane, a byproduct of the semiconductor-grade polysilicon manufacturing process, on a large scale starting in the second half of 2025. This monosilane will be supplied to the UK-based company Nexeon, which is expected to have a significant impact as it replaces imported materials, according to Kim.

Kim also highlighted OCI’s unique position in the basic chemical industry, particularly in the highly competitive field of semiconductor materials, saying that OCI is the sole company in Korea dedicated to polysilicon production and emphasizing the importance of its proprietary technology and expertise, which have solidified OCI’s status as a polysilicon powerhouse.

In an increasingly competitive landscape, the vice chairman stressed the need for OCI to produce chemical products that align with ESG (Environmental, Social, and Governance) principles. To compete effectively with Chinese chemical companies, which have cost advantages, OCI aims to enter advanced markets such as Europe and the United States by producing environmentally friendly chemical products, Kim said.

By Seo Jin-woo and Minu Kim

[ⓒ Pulse by Maeil Business News Korea & mk.co.kr, All rights reserved]