Hanwha Expands Nitric Acid Facilities... Expanding Customers for Semiconductor Cleaning Agents and More

[Asia Economy Reporter Choi Dae-yeol] Hanwha Co., Ltd. announced on the 19th that it will expand its nitric acid production capacity to more than four times the current scale. The company will also broaden its business areas to include semiconductor cleaning agents.

The nitric acid business is managed by Hanwha's global division. The company plans to invest 190 billion KRW by 2023 to build a nitric acid plant in the Yeosu Industrial Complex, Jeollanam-do. The current production capacity is about 120,000 tons, which is expected to increase to 520,000 tons in two years.

Of the increased 520,000 tons, 390,000 tons will be used not only for internal consumption but also as materials for semiconductor and display deposition and cleaning. The company explained, "We are not simply increasing production volume but are actively transitioning our business into the fine chemicals sector."

Earlier, Hanwha Solutions, an affiliate engaged in advanced materials within the group, announced plans to invest 160 billion KRW to establish a plant producing 180,000 tons of DNT annually. DNT is a raw material for TDI, which is used in manufacturing polyurethane for furniture interiors and car seats, produced through a chemical reaction between nitric acid and toluene. Approximately 130,000 tons of nitric acid are required to produce 180,000 tons of DNT.

With this investment, Hanwha Co., Ltd. and Hanwha Solutions will establish a nitric acid value chain linking 'Nitric Acid-DNT-TDI.' The company also plans to develop high-performance composite materials utilizing nitric acid. According to the company, the global nitric acid market was 75 million tons last year, valued at 27 trillion KRW. It is used across various industries, and recently, demand has been increasing as a raw material for advanced industries. The company plans to actively target not only the domestic market but also Asian markets such as China and Thailand.