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From high-purity electronic gases to ultra-pure silicon wafers, companies such as Huahai Chengke, Sunflower, Adchem, Pannersi, and Silane Technology are profoundly changing the competitive landscape of the global semiconductor materials sector through strategic acquisitions, cutting-edge R&D, and large-scale projects.
By 2025, China’s semiconductor materials industry is advancing at full speed. Domestic companies are actively expanding through mergers, equity investments, and large projects, continuously enhancing China’s position in the global semiconductor supply chain.
From high-purity electronic gases to ultra-pure silicon wafers, these companies are shaping the future of semiconductor manufacturing.
Below is a detailed analysis of the five leading companies driving the growth of China’s semiconductor materials by 2025.
Overview of 5 Companies
- Huahai Chengke acquired 70% of Hysol Huawei, enhancing its production capacity for semiconductor chip electronic packaging materials.
- Sunflower is transitioning from the photovoltaic sector to high-end semiconductor materials, with products including high-purity gases and precursors.
- Adchem is advancing the development of thin film and functional film solutions through E-round financing and a joint venture with Japan’s Tri Chemical Laboratories.
- Pannersi is expanding its ultra-pure silicon wafer production capacity, positioning itself among the core suppliers of etched silicon materials globally.
- Skychem and Yilong Electronics are driving innovation in high-purity phosphine and electronic chemicals, supporting the development of the semiconductor and solar energy industries.
1. Huahai Chengke: Expansion through Strategic Acquisitions
On September 22, 2025, Huahai Chengke received approval from the China Securities Regulatory Commission (CSRC) to acquire 70% of Hysol Huawei for 1.12 billion RMB. The transaction will be conducted through a mixed payment method of “shares + convertible bonds + cash,” while raising no more than 800 million RMB from investors.
Hysol Huawei focuses on electronic packaging materials (such as packaging resins, adhesives, and fillers) with an annual production capacity of 5,000 tons, serving major domestic semiconductor packaging manufacturers. This acquisition will help Huahai Chengke establish a foothold in the integrated circuit packaging field while enhancing production capacity and market coverage.
Core Highlights:
- Expand packaging material production capacity
- Serve mainstream domestic semiconductor manufacturers
- Support the construction of China’s local semiconductor ecosystem
2. Sunflower: Transitioning to Semiconductor Materials
Initially a solar module company, Sunflower shifted to the pharmaceutical and health sector due to the cyclical fluctuations in the photovoltaic industry. On September 21, 2025, the company announced the acquisition of 100% of Zhangzhou XiPu Material and 40% of Zhejiang Beide Pharmacy.
XiPu Materials focuses on high-end semiconductor materials, including silanes, germane, phosphine, and other high-purity electronic gases, as well as silicon-based and metal-based precursors. These products are critical materials for semiconductor manufacturing, positioning Sunflower as an emerging force in China’s high-tech materials sector.
Core Highlights:
- Focus on high-purity gases and precursors
- Support key processes in semiconductor manufacturing
- Strategic transition from solar modules to high-tech materials
3. Adchem: Leading in Thin Film Semiconductor Materials
Supported by Sinochem Group, Adchem completed its E-round financing on September 18, 2025. The funds will be used to accelerate the R&D and industrialization of semiconductor thin film materials.
Founded in 2018, Adchem is a high-tech company specializing in nano-scale functional film growth technology, providing electronic-grade films and functional solutions for integrated circuit manufacturing.
Earlier this year, Adchem signed a joint venture agreement with Japan’s Tri Chemical Laboratories to build a high-purity precursor and electronic-grade solvent project in Hefei. This collaboration highlights the increasing international cooperation in the semiconductor materials field.
Core Highlights:
- Master advanced nano-scale film technology
- Collaborate with leading Japanese semiconductor companies
- Enhance China’s local thin film material supply capacity
4. Pannersi: Expanding Ultra-Pure Silicon Material Scale
Pannersi, established in 2021, focuses on ultra-pure silicon wafer business, covering the grinding, etching, and polishing processes of silicon wafers. Its wafer sizes range from 4 to 8 inches, with the main products being 4 to 6-inch wafers.
Recently, Pannersi completed nearly 100 million RMB in A-round financing to expand production capacity. Its Jingdezhen production base will ultimately achieve the following annual production capacity:
- 16 tons of large-diameter single crystal
- 24 million pieces of 3 to 6-inch polished wafers
- 4.8 million pieces of 3 to 8-inch polished wafers
Pannersi’s development positions it as a core supplier of etched silicon materials globally, supporting international semiconductor manufacturing.
Core Highlights:
- Focus on ultra-pure silicon wafer field
- Rapid growth in international orders
- Enhance China’s influence in the global semiconductor materials sector
5. Skychem and Yilong Electronics: Advancing High-Purity Gas R&D
Skychem is a publicly listed supplier of functional wet electronic chemicals, having invested 50 million RMB in the Shanghai Junhua Fuchuang Electronic Materials Fund. This fund focuses on high-precision electronic chemicals, including specialty gases, precursors, and packaging materials.
Meanwhile, Yilong Electronics’ high-purity phosphine project in Guiyang, Guizhou, has recently topped out. This project will achieve the following production capacity:
- 200 tons of high-purity phosphine annual production capacity
- 500,000 standard cubic meters (Nm³/a) of phosphine dilution gas delivery annual production capacity
This project targets the semiconductor and photovoltaic solar sectors, expected to be operational by the end of 2025.
Core Highlights:
- Focus on high-purity phosphine and electronic gases
- Support both semiconductor and solar energy industries
- Investment accelerates local electronic chemical innovation
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