TSMC's challenge to make chipmaking sustainable

#Semiconductor manufacturing is pivotal for #Taiwan, yet it demands immense power, vast water resources, and generates significant waste. Thankfully, 台积公司 is intensifying its commitment to address these challenges. Kwangyin Liu 劉光瑩 , CommonWealth English 天下雜誌英文網 editor.

Meet the pint-sized Taiwan company selling TSMC's waste to steelmakers

By Jenna Yuan

Waste etchant poses a significant problem for TSMC. However, a small Taiwanese company transforms this hazardous liquid into artificial fluorite, which is then sold to China Steel and Formosa Plastics. This innovation marks a pioneering achievement in the progress of the circular economy.

Liying Environmental Protection Technology (立盈環保科技) is a small firm with a team of just 21 employees. Its core operation involves converting calcium fluoride sludge, a primary waste from TSMC's intricate semiconductor manufacturing process, into artificial fluorite—a valuable additive in steel production. Its triumph in commercializing the recycling process has garnered orders from steel plants of China Steel and Formosa Plastics Group in Vietnam.

Last year, TSMC invited Liying to establish a facility within the "zero waste manufacturing center" located in the Central Taiwan Science Park. This strategic move allows the annual 130,000 tons of TSMC-produced waste to undergo on-site processing.

Nearly two decades ago, China Steel had explored collaborations with semiconductor companies to transform their calcium fluoride sludge into artificial fluorite. However, that initiative did not materialize. So, what has Liying done to appease both TSMC and China Steel? The story has its roots in 2005.

China Steel's Subsidiary Paves the Way for Liying

Historically, fluorine was a theorized agent for purifying liquid iron during steel manufacturing. In 2005, China Steel proposed a collaboration with TSMC and other semiconductor firms. They aimed to utilize fluorine-rich waste for artificial fluorite production, enhancing the purification of molten metal. However, due to concerns over a consistent supply chain, the agreement did not proceed.

Despite this setback, Union Steel Development (聯鋼開發), a subsidiary of China Steel, remained persistent in their quest for sustainable resources.

Liying's CEO, Chun-chi Chen (陳俊琦), comes from a finance background. With a relative in the waste recycling business, Chen found himself in a unique position when Union Steel Development approached them in 2009. Recognizing a potential business opportunity, Chen spearheaded the research project, with guidance from experts provided by Union Steel Development.

Chen fondly remembers their early prototypes: the initial artificial fluorite sticks were fragile, breaking easily upon impact. After two months of persistent effort, they eventually matched China Steel's durability standards. This achievement involved several design iterations, evolving from a hotdog shape to the final flattened ball form.

While refining the product was an accomplishment, convincing potential clients presented another set of challenges. Union Steel Development presented the fluorite to China Steel, where it faced a barrage of criticism.

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