Japanese solder manufacturer Harima Chemicals Group announced the acquisition of the solder business of Henkel AG of Germany. The acquisition as part of Harima's global expansion plan will increase their revenue in this area from $43.5 million in 2021 to possibly more than $75 million and significantly expand their customer base.
In the announcement, Harima highlighted the common interests of the two companies in the fast-changing automotive industry, including highly reliable solder alloys. Other emerging markets, including 5G Telecom, are also important new opportunities.
Harima is already an important manufacturer of solder paste industry, active in the automotive and communication equipment industry. Although Harima already has operations in the US, Europe and Asia, the Henkel acquisition is seen as significantly increasing its global market share, particularly in the European auto industry.
Henkel has a long history in adhesives through its Letai brand, but did not enter the solder industry until 2000, when it acquired Multicore,Multicore, the world's third-largest solder manufacturer and the inventor of multi-core flux wire. Although Henkel retains Multicore's tin thread business, it has always focused on high-end value-added products related to its adhesive expertise. In addition to solder paste, Henkel also produces conductive adhesives and other organic materials for assembly and electronic assembly. Since entering the solder market, Henkel has pioneered many new technologies in this field, including no-cleaning flux technology and room temperature stabilized solder paste, both of which are important processes to improve the cost-effectiveness and sustainability of the solder market.
Viewpoint: the move marks a further consolidation of the relatively small welding industry following Metro's acquisition of Kester in 2019. The strong technological base of the two companies will help the industry meet the technological challenges of the rapid development of the electronic market.
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