The collaboration combines AGY’s ultra-low CTE glass fiber with JPS Composite Materials’ advanced weaving and fabric production capabilities.

AIKEN, S.C. and STATESVILLE, N.C.—AGY, a manufacturer of advanced specialty glass fibers, recently entered a strategic partnership with JPS Composite Materials LLC to manufacture and produce what it called “the first North American-based, low coefficient of thermal expansion (low-CTE) glass fiber fabric designed specifically for advanced integrated circuit (IC) substrates and next-generation semiconductor packaging technologies.”

According to a release from AGY, the collaboration combines AGY’s proprietary L-HDI™ ultra-low CTE glass fiber—produced at its Aiken, South Carolina manufacturing facility—with JPS Composite Materials’ advanced weaving and fabric production capabilities at its Statesville, North Carolina facility. Together, the companies are reported to be establishing a fully domestic supply chain for critical reinforcement materials used in high-performance semiconductor applications. Initial production is underway, with customer qualifications in progress.

A low-CTE L-HDI fabric produced by JPS Composite Materials from AGY’s L-HDI Glass Fiber Yarn. (Image: AGY, JPS Composite Materials, Business Wire)

AGY stated in the release that low-CTE glass fiber fabric plays a vital role in IC substrate performance by enhancing dimensional stability, reducing warpage, and supporting higher interconnect density. These characteristics are essential for advanced packaging platforms, such as Chip-on-Wafer-on-Substrate (CoWoS) and System-on-Integrated-Chips (SoIC), which enable higher bandwidth, improved power efficiency, and greater functional integration in AI, data center, and high-performance computing applications, the release stated.

“Establishing a North American source for low-CTE glass fiber fabric is a major milestone for the semiconductor supply chain,” said Patrick Hunter, chief commercial officer and president of AGY, in the release. “Our L-HDI glass fiber platform was developed to meet the increasing dimensional stability and dielectric performance demands of next-generation IC substrates. By partnering with JPS Composite Materials LLC, we are delivering a fully domestic solution that strengthens supply chain resiliency while supporting leading-edge packaging innovation.”

AGY’s L-HDI glass fiber is engineered to provide ultra-low CTE, excellent dielectric properties, and consistent filament geometry required for advanced electronic laminates and substrates. And with decades of experience in precision weaving and high-performance fabric manufacturing, JPS Composite Materials will be called upon to ensure tight construction control and quality standards necessary for semiconductor-grade fabric.

“This partnership positions both companies at the forefront of advanced electronics materials manufacturing in the United States,” said JPS Composite Materials President Keith Bendyk, in the release. “By combining AGY’s specialty fiber technology with JPS’s fabric expertise, we are enabling domestic production of a material that is critical to AI infrastructure and advanced semiconductor packaging.”

The AGY and JPS collaboration will support broader U.S. initiatives to localize critical semiconductor materials, enhance supply chain security, and advance domestic manufacturing capabilities in support of AI, aerospace, defense, and high-performance computing markets, the release stated.

AGY describes itself as “a leading innovator and manufacturer of specialty glass fibers enabling high-performance composite solutions for aviation, defense, electronics, artificial intelligence, digital connectivity, and architecture applications that are integral to civilian life and critical to the national security supply chain. “Flexible production operations, R&D teams, and a product innovation center allow AGY to customize material solutions and develop next-generation products for clients globally,” the company stated in the release.

JPS Composite Materials LLC, a wholly owned subsidiary of Steel Partners, is a manufacturer of high-performance woven fabrics for aerospace, advanced composite, and electronic applications. The company operates manufacturing facilities in the United States and serves a global customer base across aerospace, electronics, and industrial markets.