Nippon Chemical Industrial Co., Ltd. Is expanding manufacturing capacity for barium titanate at its Fukushima No. 1 Factory in Koriyama, Fukushima Prefecture, as increasing demand for high-performance multilayer ceramic capacitors (MLCCs) drive growth in AI data centers.
The expansion is targeted at reinforcing the company’s supply capacity for barium titanate, a main dielectric material used in MLCCs, and meeting developingdemand from AI servers, high-speed networking equipment and other advanced electronic devices.
The push comes as the fast adoption of generative AI fuels a global build-out of AI data centers. Demand for high-overall performance MLCCs is increasing alongside the expansion of AI infrastructure, with AI server applications anticipated to stay a significant driver of market development.
Nippon Chemical has spent years developing barium titanate materials and has constructed proprietary capabilities in fine-particle synthesis and particle-size control. The company has increasingly targeted on products for high-performance MLCC applications, which include those used in AI servers, and says adoption by customers in Japan and overseas has persisted to expand.
The new investment is designed no only to satisfy instant demand however also to reinforce long-term supply stability. Nippon Chemical said it is advancing measures to expand manufacturing capacity, upgrade production infrastructure and strengthen the resilience of its overall supply chain in anticipation of persisted market development and increasing customer demand.
The company said the capacity expansion will enhance its ability to fulfill demand associated with AI servers while positioning its barium titanate business to support the next phase of development in high-performance MLCCs.
