Nippon Kayaku stock (JP3791200002): EUV pellicle market growth signals demand for advanced materials

Nippon Kayaku is positioned in the expanding EUV pellicle market, valued at USD 670 million in 2025 and projected to reach USD 2.17 billion by 2035, according to SNS Insider research released May 11, 2026.

Nippon Kayaku, a Japanese specialty chemicals and materials manufacturer, stands to benefit from accelerating demand in the extreme ultraviolet (EUV) pellicle market, a critical segment for semiconductor manufacturing. The EUV pellicle market was valued at USD 670.39 million in 2025 and is expected to reach USD 2.17 billion by 2035, growing at a compound annual growth rate of 12.48% during 2026–2035, according to SNS Insider as of May 11, 2026. Nippon Kayaku is among the key players identified in this high-growth market segment alongside competitors including Entegris, SKC, and LG Chem.

EUV pellicles are protective membranes used in extreme ultraviolet lithography, a foundational technology for manufacturing advanced semiconductor chips at smaller nodes. As the global semiconductor industry continues to advance toward 3-nanometer and smaller process nodes, demand for EUV lithography equipment and related materials—including pellicles—is expected to accelerate. This market expansion directly supports the growth trajectory of materials suppliers like Nippon Kayaku that serve the semiconductor equipment and advanced materials ecosystem.

As of: 12.05.2026

By the editorial team – specialized in equity coverage.

At a glance

• Name: Nippon Kayaku Co., Ltd
• Sector/industry: Specialty chemicals, advanced materials, semiconductor materials
• Headquarters/country: Japan
• Core markets: Semiconductor materials, EUV pellicles, specialty chemicals
• Key revenue drivers: Advanced materials for semiconductor manufacturing, EUV lithography support materials
• Home exchange/listing venue: Tokyo Stock Exchange
• Trading currency: JPY

Nippon Kayaku: core business model

Nippon Kayaku operates as a diversified specialty chemicals and materials company with significant exposure to the semiconductor and electronics industries. The company manufactures advanced materials, including photoresists, pellicles, and other critical components used in semiconductor fabrication and lithography processes. Nippon Kayaku's positioning in high-margin, technology-intensive segments of the materials supply chain reflects its focus on serving leading-edge semiconductor manufacturers and equipment makers globally.

EUV pellicle market expansion and Nippon Kayaku's role

The projected growth of the EUV pellicle market from USD 670 million in 2025 to USD 2.17 billion by 2035 represents a significant expansion opportunity for materials suppliers. EUV pellicles are essential consumables in advanced semiconductor manufacturing, and as chipmakers invest in next-generation fabs and upgrade existing facilities to support smaller process nodes, demand for pellicles and related materials is expected to grow substantially. Nippon Kayaku's inclusion among key market participants suggests the company has established capabilities and customer relationships in this critical segment.

Semiconductor industry tailwinds and US market relevance

For US investors, Nippon Kayaku's exposure to the EUV pellicle market carries significance given the strategic importance of semiconductor manufacturing to the US economy and national security. US chipmakers and equipment manufacturers rely on advanced materials suppliers like Nippon Kayaku to support their manufacturing and R&D operations. The expansion of semiconductor capacity in the United States, driven by government incentives and supply chain diversification efforts, is expected to increase demand for advanced materials across the industry, benefiting suppliers with established relationships and proven capabilities.

Conclusion

Nippon Kayaku's position in the EUV pellicle market aligns with long-term structural growth in semiconductor manufacturing and advanced materials demand. The projected market expansion to USD 2.17 billion by 2035 reflects sustained investment in next-generation chip fabrication technology. Investors should monitor the company's quarterly results, capital allocation decisions, and competitive positioning within the pellicle and advanced materials segments to assess how effectively Nippon Kayaku captures growth opportunities in this expanding market.

Disclaimer: This article does not constitute investment advice. Stocks are volatile financial instruments.