ThinTech Materials Technology (TTMC), a subsidiary of China Steel Corporation, experienced conservative shipment momentum in the first quarter of 2025 due to delays in customer verification schedules from IDM giants and panel manufacturers, as well as the recycling use of FOPLP (Fan-Out Panel Level Packaging) carriers.
Entering the second quarter of 2025, orders for FOPLP carriers rebounded as panel makers and IDM companies replenished inventories.
SpaceX factory plans cast shadow over 2025 outlook
However, TTMC anticipates that FOPLP carrier shipments will decline in 2025 compared to 2024 because SpaceX plans to build its own factory. This move is expected to reduce outsourced manufacturing volumes, further impacting TTMC's annual FOPLP carrier shipments.
Although short-term FOPLP carrier shipments face obstacles, the long-term outlook remains positive. FOPLP is expected to succeed CoWoS (Chip on Wafer on Substrate) as the new mainstream packaging technology for AI chips. Industry leaders including Taiwan Semiconductor Manufacturing (TSMC), ASE Technology, PowerTech Technology Inc. (PTI), Innolux, and SpaceX have already invested in this area. Therefore, TTMC remains optimistic about the future contribution of FOPLP carriers to its operations.
Semiconductor diversification gains traction
Continuing to cultivate its semiconductor business, TTMC has ventured into the wafer carrier market and has submitted samples to major packaging firms, with potential shipments slated for the third quarter of 2025. TTMC's wafer carriers are made from nickel-based materials, differing from competitors' stainless steel products. These carriers are reusable and offer competitive cost-performance advantages.
Hydrogen energy collaboration takes shape
Additionally, Delta Electronics has partnered with China Steel Corporation (CSC), CPC Corp, Taiwan Power Company (Taipower), TTMC, Betacera, Hantai, Quaser, and other players to form a national hydrogen energy team. TTMC is part of this coalition and has begun collaboration with Delta, primarily supplying burners currently under testing. Growth momentum is expected after 2026.
Biomedical breakthrough expands market reach
TTMC has also expanded into the biomedical field. In 2024, Taiwan's first accelerator-type boron neutron capture therapy device was installed at China Medical University Hospital's Hsinchu branch, with key aluminum-based composite materials exclusively supplied by TTMC. The company expects to ship a second such device in the fourth quarter of 2025, marking another success in the biomedical sector.
Record May revenue driven by titanium projects
In May 2025, TTMC achieved a record consolidated revenue of NT$597 million (US$20.47 million), up 26.9% month-over-month and 23.6% year-over-year, mainly driven by one-time project orders for titanium consumer goods.
Besides these one-off projects, precious metals like silver and gold prices remain high, supporting expectations for significantly higher second-quarter revenues compared to the first quarter of 2025. However, recent foreign exchange losses have impacted some profits. TTMC estimates full-year 2025 revenue could increase by 5–10% over 2024.
Currently, precious metals account for the largest share of TTMC's revenue at 48%, while titanium-nickel products and others (including FOPLP carriers) make up 42%. Sputtering targets represent about 10% of total revenue.
The company has aggressively pushed into the semiconductor sector over the past two years, focusing on sputtering targets and carriers. Due to sluggish demand in the panel and optical disc industries affecting optoelectronic target materials, TTMC has actively shifted toward semiconductors, where related products enjoy higher gross margins. This transition is expected to boost profitability and drive the company's transformation efforts.
Article edited by Jerry Chen
