Toyota Tsusho Backs US Semiconductor Materials Startup ChEmpower to Expand Advanced Chip Manufacturing Technologies

Toyota Tsusho Corporation said on October 21, 2026 that it has taken an equity stake in ChEmpower Corporation, an American startup that makes chemical materials for chemical mechanical polishing (CMP) used in semiconductor fabrication.

The Japanese trading house's investment was structured through stock acquisition rights issued under a simple agreement for future equity, a SAFE arrangement that permits the investor to obtain shares later under specified conditions.

How the Investment Will Be Used

With the backing in place, Toyota Tsusho plans to begin supplying ChEmpower's products to semiconductor manufacturers in Japan. The group also intends to develop a related business that collects waste liquids generated during semiconductor fabrication and recovers rare metals from them, extending its involvement in resource circulation across the manufacturing chain.

An Alternative to Abrasive Polishing

ChEmpower applies its own chemical technology to produce CMP chemicals and polishing pads that contain no abrasive particles. CMP itself is characterized by Toyota Tsusho as a process that no semiconductor manufacturer can do without: surfaces are smoothed by chemicals and abrasives working to remove irregularities. ChEmpower's approach departs from that convention by doing away with the abrasive particles that conventional processes have always required.

The company's announcement states that removing abrasives from the process prevents scratches on silicon wafer surfaces and helps raise production yields. It also addresses the disposal problem that traditional methods create. Because no particles need to be thrown away after use, recycling water and rare metals out of waste liquids becomes significantly easier.

Why the Industry Is Looking for Change

Toyota Tsusho framed the deal against a backdrop of surging global semiconductor demand, citing the buildout of data centers serving artificial intelligence and the growing performance of smartphones. Yet the CMP step, central to chipmaking, consumes large volumes of abrasive particles and ultrapure water.

The company said that material losses through disposal and the environmental burden they create have become pressing concerns for the industry as a whole. The Toyota Tsusho Group already handles chemicals for semiconductor processes and has been examining ways to lessen the environmental footprint of chip manufacturing, giving the investment a logical fit with its existing business.

Toward Green Semiconductors

Looking ahead, the group intends to leverage the abrasive-free technology to build a resource circulation model that runs from supplying environmentally friendly materials through to collecting and recycling resources at the end of the process. The stated ambition is an ecosystem for "green semiconductors" that are gentle on the global environment.

Through this strategy, Toyota Tsusho aims to reduce the environmental impact of semiconductor production while pushing forward its circular economy agenda, which it situates within its stated vision to "Pass on a better Earth to the children of the future." The figures and plans described in the announcement reflect the company's position as of the October 21, 2026 release date, and Toyota Tsusho cautioned that details could be revised thereafter.