According to a report from Nikkei on August 5, RS Technologies, a global giant in recycled wafers, has announced that due to increased orders, it will expand the monthly production capacity of its Japanese and Taiwanese plants to 580,000 wafers by 2024.

Despite the Japanese plant operating at full capacity, the company is still unable to meet the surging demand, prompting it to implement new investment plans to further increase production.

RS Technologies President Fang Yong Yi explained that there are various processes in semiconductor manufacturing, and many of them require repeated quality checks and testing, which utilize reclaimed wafers.

These reclaimed wafers are cleaned and subjected to precise regeneration processes, with each wafer being recyclable about 10 times. The company estimates that global monthly production output of reclaimed wafers will increase by 32% from 1.32 million in 2023 to 1.74 million in 2024.

Regarding TSMC’s new plant in Kumamoto Prefecture, which hints at a resurgence in semiconductor production within Japan, Fang noted that in 2023, orders for reclaimed wafers from major Japanese semiconductor companies like Kioxia significantly declined. However, in 2024, orders are expected to increase by 10,000 to 20,000 wafers month by month.

For 2024, the combined monthly production of RS Technologies’ Japanese and Taiwanese plants is projected to rise from 540,000 in 2023 to 580,000.

Reportedly, the Japanese plant is currently operating at full capacity with a 24-hour, three-shift system but still cannot meet demand. The plant’s current monthly production is 320,000 wafers, and new equipment investments are planned to add 170,000 wafers to the monthly capacity soon.

Fang further noted that orders for recycled test wafers from overseas vendors have also increased. New plants require a large volume of test wafers, and thus the simultaneous construction of new plants by overseas manufacturers represents a significant opportunity for the company.

RS Technologies, in a financial report released on May 13, announced plans to expand its overall monthly production capacity of reclaimed wafers to over 890,000 units by the end of 2026 to meet strong demand.

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