Huate Gas(SH:688268) GOLDEN SUN SECURITIES·2024-05-28 08:02Investment Rating - The report does not explicitly state an investment rating for the company Core Insights - The company is involved in the production of advanced semiconductor materials, including specialty gases used in various applications such as semiconductor manufacturing, medical, and food preservation [9][12] - The global electronic gas market is valued at approximately $6.95 billion, with specialty gases accounting for $5.12 billion, representing a 74% market share [12] - The company has successfully integrated into the supply chains of major domestic manufacturers for silicon carbide (SiC) and gallium nitride (GaN) products [1] Summary by Sections Business Types and Applications - The company produces specialty gases, including high-purity gases for cleaning, etching, and deposition processes, as well as medical gases and standard gases for calibration [2][5] - Specialty gases are categorized into semiconductor-grade, photovoltaic-grade, and LED-grade, with semiconductor specialty gases having high purity requirements and low domestic production rates [5][11] Market Potential - The electronic specialty gas market in China is projected to grow significantly, driven by the expansion of domestic fabless manufacturers and increased industry utilization rates [12] - China's electronic specialty gas market size reached approximately 249 billion yuan in 2023, with a total electronic gas market size of about 352 billion yuan [12] Industry Trends - The global semiconductor materials market is expected to continue its growth trajectory, with a forecasted increase in wafer production capacity [23][26] - Specialty gases are identified as the second-largest consumable in semiconductor manufacturing, accounting for about 14% of the total manufacturing cost [28] Application in Semiconductor Processes - Specialty gases are crucial in various semiconductor manufacturing processes, including etching, doping, thin film deposition, and photolithography, with etching and doping being the most significant applications [33]