NGK to More Than Double Substrates Churn for Power IC

NGK INSULATORS, LTD. has decided to augment the production capacity of AMB substrates for power semiconductor modules. Particularly, the company targets to increase monthly production to 2.5 times by 2026.

Moreover, NGK aims for net sales of ¥20.0 billion by the fiscal year 2030. For that reason, the company will improve supply capacity steadily and capture demand in markets such as automotive applications.

Solidifies Supply Chain

Currently, NGK’s subsidiaries produce silicon-nitride-made AMB substrates for power modules. The NGK CERAMIC DEVICE CO., LTD. (NCDK), based in Komaki in Aichi, Japan, handles the front end-processing such as bonding. On the other hand, NGK ELECTRONICS DEVICES, INC. in Yamaguchi, Japan, and NGK ELECTRONICS DEVICES (M) SDN.BHD., in Penang, Malaysia, will handle the back end-process. This includes etching and plating.

NGK’s latest investment will augment facilities at NCDK and NGK ELECTRONICS DEVICES (M). Thus, it aims to increase the monthly production capacity. Presently, the current level output is roughly 100,000 AMB substrates. With the new investments, it will increase to approximately 250,000 AMB substrates in 2026. The planned investment amount will be approximately ¥5.0 billion.
Moreover, NGK is currently planning an additional production base in Europe. This will further prepare the company for increased demand. At the same time, it will also strengthen the supply chain to the main markets of power modules.

Crucial Role in Power IC

AMB substrates for use in power modules, perform roles such as controlling motor drives and converting power in generators. By dissipating heat generated when power semiconductors are operated, the substrates for power modules play a central role in providing stable operation.

Moreover, AMB substrates for power modules made of Silicon Nitride targets inverters for motor control in Battery Electric Vehicles (BEV) and Hybrid Electric Vehicles (HEV). At the same time, their application also include SiC) power semiconductors, which require stability even in high power and high temperature environments.

NGK’s Silicon Nitride AMB substrates achieve high reliability and excellent heat dissipation characteristics through proprietary bonding technology. Thus, they have been adopted by several European and Japanese power module manufacturers since 2019. Furthermore, they have been recognized as a product which can maximize the performance of power modules.

Demand from automotive application is expanding in conjunction with the global growth of xEVs. Thus, the outlook for this market is positive over the medium- to long-term.

NGK Group’s 2050 vision includes transformation of the current business structure to the fields of Carbon Neutral and Digital Society. In the commitment of “New Value 1000”, NGK aims to generate at least ¥100.0 billion in net sales from the new business fields by the milestone year of 2030.

Furthermore, AMB substrates will also contribute to Carbon Neutrality through automotive applications in BEV and HEV, as a key component of power modules. NGK will continue to focus on the Carbon Neutrality and Digital Society fields and contribute to resolving social issues through its proprietary ceramic technologies.

-22 March 2024-

*This is an English translation of a Japanese article originally published in the March 13, 2024 issue of Dempa Shimbun Daily.