Red Avenue New Materials
Its subsidiary Beijing Kehua Microelectronics is the absolute leader in the domestic photoresist field, with ArF and KrF photoresist R&D progress leading the country.
By acquiring Beijing Kehua, it entered the photoresist track, becoming the only domestic company with simultaneous R&D capabilities for i-line, KrF, and ArF photoresists, and the first domestic company to pass ArF photoresist verification by mainstream wafer fabs.
Company Overview
Red Avenue New Materials was founded in 2002, headquartered in Shanghai, and listed on the Shenzhen Stock Exchange in 2021. Originally a global leading supplier of specialty rubber additives, the company formally entered the semiconductor photoresist field in 2020 through the acquisition of Beijing Kehua Microelectronics.
Beijing Kehua Microelectronics is one of the oldest players in China's photoresist industry, with over 20 years of photoresist R&D experience. After the acquisition, Red Avenue provided financial and industrialization support, enabling it to take a leading position in the wave of domestic photoresist substitution. Currently, Red Avenue is the only Chinese company to secure volume orders for ArF photoresist from mainstream wafer fabs.
Core Business
ArF Photoresist (DUV, Most Advanced)
- Technology Level: The first ArF photoresist in China to pass verification by mainstream wafer fabs (e.g., SMIC) and achieve small-volume supply.
- Applications: Used in the manufacturing of 28nm-14nm logic chips; it is currently the most urgently needed high-end photoresist category for domestic substitution.
KrF Photoresist (In Volume Supply)
- Technology Level: Already achieving large-scale volume supply to mainstream domestic wafer fabs; one of the main domestic suppliers of KrF photoresist.
- Applications: Used in mature process nodes (28nm and above) and some memory chip manufacturing.
i-line Photoresist (Mature Product)
- Used in mature processes such as power devices and analog chips; has been in stable mass production for many years.
Market Position
Red Avenue is the company with the most complete product portfolio and widest customer coverage in China's photoresist field. As domestic wafer fabs (SMIC, Hua Hong, YMTC, etc.) expand capacity and advance localization substitution, Red Avenue's photoresist business is entering a period of rapid volume growth.
Risks & Summary
The main risks lie in the fact that, compared with mature players such as Japan's JSR and Tokyo Ohka, Red Avenue's high-end ArF products still have gaps in batch-to-batch stability and metal ion purity control. However, the policy-driven momentum for domestic substitution is very strong, and as the domestic leader, Red Avenue is expected to continue benefiting.