Semiconductor Grade Nitric Acid Market

Market Definition

The market focuses on high-purity nitric acid tailored for semiconductor manufacturing. This acid undergoes rigorous purification to meet strict quality standards, ensuring minimal contamination during critical processes such as wafer cleaning, etching, and oxidation. This ensures reliable handling of silicon wafers and other materials, enabling consistent performance in producing microchips and electronic components. 

Key applications include integrated circuits, memory devices, and solar cells. The report provides a comprehensive analysis of key drivers, emerging trends, and the competitive landscape expected to influence the market over the forecast period.

Semiconductor Grade Nitric Acid Market Overview

The global semiconductor grade nitric acid market size was valued at USD 95.2 million in 2024 and is projected to grow from USD 97.6 million in 2025 to USD 118.5 million by 2032, exhibiting a CAGR of 2.73% during the forecast period. 

Market growth is primarily driven by the expansion of the semiconductor manufacturing industry and the increasing miniaturization of semiconductor components. These trends demand higher purity chemicals for precision cleaning and etching processes, leading to a greater need for ultra-high-purity nitric acid formulations.

Major companies operating in the semiconductor grade nitric acid industry are Honeywell International Inc., BASF, The Chemours Company, Mitsubishi Chemical Group Corporation, Nippon Shokubai Co., Ltd., DuPont, Tata Chemicals Ltd., Lanxess AG, Hubei Xingfa Chemicals Group Co., Ltd., Yara International, LyondellBasell Industries N.V., Sumitomo Chemical Co., Ltd., Evonik Industries AG, Solvay S.A., and Wacker Chemie AG.

The market is influenced by rising demand for advanced semiconductor devices used in consumer electronics, automotive, and industrial applications. Precision in wafer cleaning and etching requires high-purity chemicals, including semiconductor grade nitric acid, to achieve defect-free components. This demand prompts manufacturers to produce superior quality acids that meet stringent purity requirements, fueling market expansion globally.

• In November 2024, UBE Corporation announced a significant expansion of its high-purity nitric acid production capacity at the Ube Chemical Factory in Yamaguchi Prefecture, Japan. This 30% increase aims to meet the growing demand from semiconductor manufacturing, particularly for next-generation digital technologies such as AI and quantum computing. The expansion underscores UBE's strategic role in strengthening the global semiconductor supply chain and supporting the infrastructure of future digital ecosystems.

Key Highlights

1. The semiconductor grade nitric acid industry size was valued at USD 95.2 million in 2024.
2. The market is projected to grow at a CAGR of 2.73% from 2025 to 2032.
3. Asia Pacific held a market share of 35.03% in 2024, with a valuation of USD 33.3 million.
4. The EL grade segment garnered USD 31.6 million in revenue in 2024.
5. The LCD panel segment is expected to reach USD 35.5 million by 2032.
6. North America is anticipated to grow at a CAGR of 3.20% over the forecast period.

Market Driver

Expansion of the Semiconductor Manufacturing Industry

The rapid expansion of semiconductor manufacturing facilities is boosting the growth of the semiconductor grade nitric acid market. New fabrication plants demand large volumes of ultra-pure chemicals for processes such as oxidation and cleaning. The industry’s expansion across Asia-Pacific, North America, and Europe creates steady demand, stimulating investments in production capacity for high-grade nitric acid.

• In March 2025, Taiwan Semiconductor Manufacturing Company (TSMC) announced plans to invest an additional USD 100 billion to establish three new advanced semiconductor plants in the United States. This follows its earlier USD 65 billion investment in Arizona and aims to enhance domestic production of advanced nodes, including 2nm and 3nm chips.

Market Challenge

Maintaining Ultra-High Purity Standards

A significant challenge hindering the expansion of the semiconductor grade nitric acid market is maintaining ultra-high purity standards required for advanced semiconductor fabrication. Even minor impurities can damage wafers or affect device performance, necessitating strict quality control.

To address this challenge, key players are investing in advanced purification technologies, such as multi-stage distillation and microfiltration systems. They are also enhancing in-line quality monitoring and partnering with semiconductor manufacturers to align specifications. Collaborations with research institutions and process engineers further support formulation refinement and consistency.

Market Trend

Increasing Miniaturization of Semiconductor Components

The semiconductor industry’s notable shift toward smaller, more complex chips is influencing the semiconductor grade nitric acid market. This miniaturization trend increases the need for precise chemical processes. Semiconductor grade nitric acid is essential for etching and cleaning steps, meeting the demands of finer geometries. 

As miniaturization advances, the need for ultra-pure nitric acid and other high-performance specialty chemicals continues to grow in advanced semiconductor manufacturing globally.

• In April 2025, researchers at Fudan University in China developed a 1-nanometer RISC-V chip using two-dimensional semiconductors. This breakthrough represents a significant advancement in transistor miniaturization, potentially leading to more efficient and compact semiconductor devices.

Semiconductor Grade Nitric Acid Market Report Snapshot

Segmentation	Details
By Type	EL Grade, VL Grade, UL Grade, SL Grade
By Application	LCD Panel, Solar Energy, Semiconductor, Others
By Region	North America: U.S., Canada, Mexico
	Europe: France, UK, Spain, Germany, Italy, Russia, Rest of Europe
	Asia-Pacific: China, Japan, India, Australia, ASEAN, South Korea, Rest of Asia-Pacific
	Middle East & Africa: Turkey, U.A.E., Saudi Arabia, South Africa, Rest of Middle East & Africa
	South America: Brazil, Argentina, Rest of South America

Market Segmentation

• By Type (EL Grade, VL Grade, UL Grade, and SL Grade): The EL grade segment earned USD 31.6 million in 2024, mainly due to its superior purity levels, essential for advanced semiconductor manufacturing.
• By Application (LCD Panel, Solar Energy, Semiconductor, and Others): The LCD Panel segment held 30.04% of the market in 2024, largely attributed to strong demand for ultrapure cleaning agents in large-scale display production.

Semiconductor Grade Nitric Acid Market Regional Analysis

Based on region, the market has been classified into North America, Europe, Asia Pacific, Middle East & Africa, and South America.

The Asia-Pacific semiconductor grade nitric acid market share stood at around 35.03% in 2024, valued at USD 33.3 million. Asia Pacific is witnessing significant growth in domestic semiconductor fabrication facilities established by both regional and global firms. These fabs require large volumes of ultra-pure process chemicals, including semiconductor grade nitric acid. 

The rise in localized production reduces dependency on imports and increases continuous chemical demand, accelerating regional market expansion. Moreover, several countries have launched long-term programs to build self-reliant semiconductor ecosystems. These programs include heavy subsidies, funding, and policy support for fabs and chemical manufacturing units, positioning semiconductor grade nitric acid as a key input in the region’s industrial strategy.

• In December 2024, Japan Advanced Semiconductor Manufacturing (JASM), a joint venture of TSMC, Sony, Denso, and Toyota, commenced production at its Phase 1 semiconductor facility in Kumamoto, Japan. The plant manufactures semiconductors using 12/16nm FinFET and 22/28nm process technologies, primarily for image sensors and automotive applications. Phase 2 is under construction, targeting 6nm chip production by 2027.

The North America semiconductor grade nitric acid industry is estimated to grow at a CAGR of 3.20% over the forecast period. National strategies aimed at securing critical semiconductor supply chains are promoting new investments across the chemical and material sectors. 

Semiconductor grade nitric acid, used in high-precision cleaning steps, is one of the essential materials targeted for localized production. These policies are prompting regional producers to scale up their capacity and purification capabilities, boosting regional market expansion.

• The Semiconductor Industry Association reports that increasing demand has driven significant new investments aimed at expanding chip production. The CHIPS and Science Act has been pivotal in attracting private capital, enabling the U.S. to capture a larger portion of global semiconductor manufacturing investment. By August 2024, over 90 new manufacturing projects were announced across 28 states, representing nearly USD 450 billion in planned investments within the U.S. semiconductor ecosystem since the CHIPS Act was introduced.

Regulatory Frameworks

• In the U.S., the Department of Transportation regulates the safe packaging and transportation of nitric acid under Title 49 of the Code of Federal Regulations. Federal standards such as A-A-59105 define purity requirements for semiconductor-grade nitric acid to ensure minimal contaminants. These rules ensure safe handling and high chemical quality, which are critical for semiconductor manufacturing processes.
• The European Union enforces the Classification, Labelling, and Packaging regulation (Regulation (EC) No 1272/2008), which categorizes nitric acid based on its hazards, requiring strict safety labeling. It is also controlled under Regulation (EU) 2019/1148 as an explosive precursor, mandating proper authorization for its acquisition.
• Japan regulates nitric acid as a hazardous material under the Fire Service Act, imposing stringent storage and handling standards. These rules are designed to prevent accidents and ensure worker and environmental safety. Such regulation supports the safe use of nitric acid in sensitive semiconductor manufacturing environments, maintaining both operational safety and chemical integrity.
• In India, the Manufacture, Storage, and Import of Hazardous Chemicals Rules, 1989 govern nitric acid. These regulations ensure the safe storage, handling, and use of hazardous chemicals to minimize risks to health and the environment. Compliance with these rules is essential for industries using semiconductor-grade nitric acid to maintain safety and operational standards.

Competitive Landscape

Major players in the semiconductor grade nitric acid industry are focusing on expanding production facilities to align with the increasing demand from semiconductor manufacturers. This expansion often involves upgrading existing plants or establishing new manufacturing units equipped with advanced purification technologies. Additionally, substantial funding from government initiatives and private investors is accelerating capacity growth and technological advancements.

Additionally, key players are intensifying research and development efforts to enhance product purity, optimize manufacturing processes, and develop environmentally friendly formulations. These strategic initiatives help companies improve supply reliability, meet stricter quality standards, and maintain competitive advantage.

List of Key Companies in Semiconductor Grade Nitric Acid Market:

• Honeywell International Inc.
• BASF
• The Chemours Company
• Mitsubishi Chemical Group Corporation.
• Nippon Shokubai Co., Ltd.
• DuPont
• Tata Chemicals Ltd.
• Lanxess AG
• Hubei Xingfa Chemicals Group Co., Ltd.
• Yara International
• LyondellBasell Industries N.V.
• Sumitomo Chemical Co., Ltd.
• Evonik Industries AG
• Solvay S.A.
• Wacker Chemie AG

Recent Developments (Expansion)

• In August 2024, Gujarat Narmada Valley Fertilizers & Chemicals Ltd. (GNFC) approved an investment to establish a 200,000 metric tons per annum (MTPA) weak nitric acid production facility. This expansion will boost GNFC's weak nitric acid capacity by approximately 57%, strengthening its production capabilities and market presence.