Chemtronics is a company that primarily focuses on the chemicals and electronics businesses. Its chemicals business division, which contributed 47% of total sales in 2022, is expanding its client base to include chip and display makers, in addition to paint manufacturers. Analysts in China believe the division is expected to broaden its business range of display glass processing services from rigid OLED to hybrid OLED. The electronics business division, which accounted for 53% of sales in 2022, supplies a wide range of products including electronics components, wireless charging modules, and autonomous driving solutions.
One major client of Chemtronics is Samsung Display, which recently announced plans to invest 4.1 trillion won ($3.1 billion) in Gen 8.7 OLED facilities to meet demand from its US customers. Starting in 2024, assuming OLED adoption rates hold, Chemtronics is well-positioned to benefit from this expansion, particularly with the adoption of hybrid OLEDs. Chemtronics’s glass etching business is expected to benefit most (the technology creates a specific surface texture on the glass substrate used in OLED production, allowing for better light extraction and emission control).
Chemtronics has not been left out of the transition to flexible OLEDs either, the company is expected to benefit significantly. Compared with other OLED materials, equipment, and parts suppliers out of China, Chemtronics is expected to see a stronger boost both at home and abroad.
