United Nations Stockholm Convention: PFOA Restrictions Sanjay Baliga, SEMI Global Headquarters

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1 United Nations Stockholm Convention: PFOA Restrictions Sanjay Baliga, SEMI Global Headquarters IHTESH Conference, Hsinchu, Taiwan (Friday, June 9, 2017)

2 Presentation Agenda PFOA and Related Compounds Basics of the Stockholm Convention SEMI Recommendations on Exemptions Photolithography Equipment Facilities-Related Control Systems Chemical Container Systems Next Steps and Request for Collaboration Page 2

3 PFOA and Related Compounds Inert Fluoro-Surfactant Materials Class of Synthetic Materials That Acts to Reduced Surface Tension and Are Chemically Resistant to Other Reactive Materials and Even to High Energy Light Most Prominent Members Include Per-Fluorinated Alkylated Substances (PFASs) Extremely Mobile Once in the Environment Extremely Persistence / Bio-accumulative Some are Considered to be a Persistent Organic Pollutant (POP) Hazard Profile Are Somewhat Known Page 3

4 PFOA and Related Compounds PFOA PFOS PFHxS Page 4

5 PFOA and Related Compounds Basics of PFOA Per-Fluoro-Octanoic Acid (PFOA) C8 First Produced by 3M in 1947 and Then by Dupont in 1951 Extremely Useful as an Inert Industrial Surfactant Extremely Mobile Once in the Environment Extremely Persistence / Bio-accumulative Could be Considered to be a Persistent Organic Pollutant (POP) Toxic and Carcinogenic Page 5

6 PFOA and Related Compounds Known or Likely PFOA Use in the Semiconductor Industry Used in Photolithography / Potentially Other Applications for Semiconductor Manufacturing Found as Residues in Articles Made Up of Fluoropolymers / Fluoroelastomers PFOA Useful As an Emulsifier in the Construction of Fluoropolymers and Fluoroelastomers Fluoropolymers and Fluoroelastomers Incorporated into Parts such as Tubing, Piping, Gaskets, Ductwork, Filtration, etc. These Fluoropolymer and Fluoroelastomer-Containing Are Incorporated into Semiconductor Manufacturing Equipment, Facilities-Related Equipment, and Chemical Container Systems Page 6

7 PFOA and Related Compounds Related Substances: PFOS Per-Fluoro-Octane-Sulfonic Acid (PFOS) C8 PFOS is Similar to PFOA as a POP Previously Used in Photolithography and Other Critical Applications Listed Under the UN-ECE LRTAP Convention and the UN Stockholm Convention WSC Confirmed PFOS No Longer Used in Photolithography (Transition Completed) Most Companies Moved from PFOS to PFOA for Photolithography Applications Page 7

8 PFOA and Related Compounds Related Substances: PFHxS Per-Fluoro-Hexane Sulfonic Acid (PFHxS) C6 PFHxS is Similar to PFOA and PFOS as a POP PFHxS Tends to be Less Persistent Than PFOS or PFOA Some Companies Have Transitioned from PFOA to PFHxS for Photolithography Others Have Not Been Successful with this Transition Page 8

9 Basics of the Stockholm Convention Dominos Affect from Regulations in Other Countries EU Already Has Existing PFOA Restrictions Under REACH Canada Has Enacted PFOA Restrictions US Has Proposed Fluorinated Substance Restrictions (SNUR) Under TSCA Page 9

10 Basics of the Stockholm Convention International Treaty Administered Under the United Nations (UN) Proceeded by Another UN Instrument (UN-ECE LRTAP Convention) Signed in 2001 and Came Into Force in 2004 Addresses Global Restrictions on Persistent Organic Pollutants (POPs) Currently 181 Parties (Countries or Other Designated Entities) to the Convention Some Countries Have Not Ratified the Convention (U.S., Italy, Malaysia, and Israel) About Every Two Years, All Parties Meet at a Conference of the Parties (COP) Latest COP Meeting Just Took Place in Geneva, Switzerland (April 2017) Page 10

11 Basics of the Stockholm Convention Page 11

12 Basics of the Stockholm Convention POP Substance Restrictions Substances Are Added to the Restriction List Based on Consensus of COP Members Frequency of Restrictions Based on Frequency of COP Meetings Initially in 2004, 12 Substances Listed for Global Restrictions 12 Substances Added in 2010; 1 Substance Added in 2011; 1 Substance Added in 2014; 3 Substance Added in 2016 PFOS Added in 2010 Page 12

13 Basics of the Stockholm Convention Incorporating Stockholm Convention Restrictions to Domestic Legislation Once a Country Has Ratified the Stockholm Convention, They Are Obligated to Eventually Incorporate these Substance Restrictions into Their Domestic Legislation or Regulations (But NO UN Police Function or Penalties Clause for Violators) For Some Countries, Stockholm Consensus Automatically Incorporates the Restrictions Into Domestic Law Each Party Has Great Flexibility in Implementation / Enforcement Page 13

14 Basics of the Stockholm Convention Different Types of Restrictions: Annex A: Eliminate Production and Use Specific Exemptions (Time Limited) Annex B: Reduce Production and Use Specific Exemptions (Time Limited) Acceptable Purpose Exemption (Time Unlimited or Time Limited) Annex C: Unintentional Production Page 14

15 Basics of the Stockholm Convention Substances in Annex A: Aldrin Chlordane Chlordecone Dieldrin Endrin Heptachlor Hexabromobiphenyl Hexabromocyclododecane (HBCD) Hexabromodiphenyl Ether, Heptabromodiphenyl Ether Hexachlorobenzene (HCB) Hexachlorobutadiene Alpha Hexachlorocyclohexane Beta Hexachlorocyclohexane Lindane Mirex Pentachlorobenzene Pentachlorophenol and Salts / Esters Polychlorinated Biphenyls (PCB) Polychlorinated Naphthalenes Technical Endosulfan and Related Isomers Tetrabromodiphenyl Ether, Pentabromodiphenyl Ether Toxaphene Page 15

16 Basics of the Stockholm Convention Substances in Annex B: DDT PFOS and Per-Fluoro-Octane-Sulfonyl Fluoride (PFOSF) Page 16

17 Basics of the Stockholm Convention Substances in Annex C: Hexachlorobenzene (HCB) Pentachlorobenzene Polychlorinated biphenyls (PCB) Polychlorinated Dibenzo-p-Dioxins (PCDD) Poly-Chlorinated Dibenzo-Furans (PCDF) Polychlorinated Naphthalenes Page 17

18 Basics of the Stockholm Convention Adding New Substances: Process of Adding New Substances Is Relatively Well Known (5 Step Process) Any Party to the Convention Can Propose New Substances POP Review Committee or POP-RC Evaluates Proposals for New Substances and Comes Up with Initial Set of Recommendations, which Are Forwarded to the COP Current POP-RC Established in May 2016 (Normally 2 Year Duration) 17 Designated Experts (Includes Current Drafter of Risk Management Evaluations) 14 Parties (Estefânia Moreira of Brazil as Chair) For Current POP-RC: Start in September 2016 and End Work in Late October 2017 In 2019, COP Evaluates and Adopts / Rejects POP-RC Proposals for New Substances Page 18

19 Basics of the Stockholm Convention POP-RC Parties: Brazil * China * Indonesia Jamaica Japan * Kenya Luxembourg Mali Nepal Netherlands * Poland Swaziland Switzerland * Tunisia * High Tech Manufacturing Regions Page 19

20 Basics of the Stockholm Convention POP-RC Time Line: February 10, 2017: First Draft of Risk Management Evaluation Available February 24, 2017: Feedback Comments Due March 17, 2017: Second Draft of Risk Management Evaluation Available May 12, 2017: Feedback Comments Due June 12, 2017: Third Draft of Risk Management Evaluation Available June 19, 2017: Feedback Comments Due July 10, 2017: Final Draft of Risk Management Evaluation Available October 23 27, 2017: POP-RC Meets in Geneva for Consensus on Draft November 2017 or Thereafter: POP-RC Forwards Final Draft to COP (IF Consensus Achieved) Page 20

21 SEMI Recommendations on Exemptions SEMI Feedback Process SEMI Stockholm Convention Working Group Third Party Legal Consultant Assisting Communication with Parties (Government Agencies) Existing SEMI Feedback Documents December 9, 2017 (2 Pages) February 24, 2017 (7 Pages) February 27, 2017 (20 Pages) May 12, 2017 (4 Pages) Page 21

22 SEMI Recommendations on Exemptions General Recommendations List in Annex B (Similar to PFOS) Allows for Acceptable Purpose Use / Exemptions Recommendations for Photolithography Acceptable Purpose Exemption (Did Not Mention Any Time Frame) Recommendations for Articles 10-Year Specific Exemption for Manufacturing Equipment 5-Year Specific Exemption for Facilities-Related Equipment 5-Year Specific Exemption for Chemical Container Systems Page 22

23 SEMI Recommendations on Exemptions Our Perspectives on POP-RC Comments to Our Feedback Chair of the PFOA Work Group of the POP-RC Reviewed SEMI / SIA Feedback and Subsequently Provided Written Comments Interpretation of Comments as Possible Signal of POP-RC Opinions Possible Good and Bad News (Depending on Your Perspective) Industry Should Perhaps Prepare for a Time Limited Specific Exemption for Photolithography Industry Should Perhaps Prepare for a Time Limited Specific Exemption for Semiconductor Equipment, Facilities Equipment and Chemical Container Systems Page 23

24 SEMI Recommendations on Exemptions POP-RC Comments on Possible Photolithography Exemptions POP-RC: Listing could be in Annex A or B depending on whether the aim is to eliminate (Annex A) or reduce (Annex B). The question whether the objective in semiconductor related uses is to eliminate or reduce the releases will be subject of the discussion at POPRC. POP-RC: It is stated in the SIA comments that in manufacturing processes some companies have transitioned from the use of PFOA, or PFOA related compounds, others continue to use these chemicals in the photolithography process. And further that an exemption is required to provide the time needed to enable these companies to continue the transition to shorter chain compounds. These statements demonstrate that the ultimate objective could be to eliminate the use of PFOA and related substances. Hence, listing manufacturing processes in Annex A (aiming at elimination) could be appropriate. Page 24

25 SEMI Recommendations on Exemptions SEMI Response to POP-RC Comments on Possible Photolithography Exemptions SEMI: The Stockholm Secretariat working group appears to believe that there are alternatives available for photolithography application. Although it is true that there are alternatives for some PFOA photolithography applications, it is not true that there are substitutes for all photolithography applications in all manufacturing technologies and for all semiconductor-related devices. SEMI: Removal of PFOA from all photolithography applications would require some innovation or invention, the likelihood and timing of which cannot be predicted. An Acceptable Purpose exemption is necessary. Page 25

26 SEMI Recommendations on Exemptions POP-RC Comments on Possible Equipment Exemptions POP-RC: Listing manufacturing equipment in Annex A (aiming at elimination) could be appropriate. POP-RC: We propose to enlarge the originally proposed exemption to Equipment used to manufacture semiconductors and related infrastructure in order to cover exemption requests 2 and 3. In view of the proposed time frames for equipment and related infrastructure a transition period of 10 years appears appropriate to ensure sufficient time for transition. Page 26

27 SEMI Recommendations on Exemptions SEMI Response to POP-RC Comments on Possible Equipment Exemptions SEMI: In regards to replacement and spare parts for legacy equipment, we note the following: Semiconductor manufacturing equipment are typically very large and complex, very expensive and have long service lives (often 20 to 30 years), often across a series of owners. The equipment typically requires numerous parts replacement during service life due to anticipated process-related wear-out and preventative maintenance in additional to parts failure. Most alternative spare parts made without PFOA cannot be introduced as drop-in replacements in various types of semiconductor manufacturing equipment. Qualifying spare parts with components made without PFOA can take months to years to requalify for each component. Any interruption in the availability of qualified spare parts could render the equipment inoperable and subsequently functionally obsolete, requiring disposal of the now-obsolete equipment and replacing with new in-kind equipment if available. Due to these challenges for spare parts for legacy equipment, we request an exemption without time limit. Page 27

28 SEMI Recommendations on Exemptions General Recommendations List in Annex B (Similar to PFOS) Allows for Acceptable Purpose Use / Exemptions Recommendations for Photolithography Acceptable Purpose Exemption (Did Not Mention Any Time Frame) Recommendations for Articles 10-Year Specific Exemption for Manufacturing Equipment 5-Year Specific Exemption for Facilities-Related Equipment 5-Year Specific Exemption for Chemical Container Systems Page 28

29 SEMI Recommendations on Exemptions Our Current Best-Case Prediction Given the Current Situation Listing PFOA in Annex B Acceptable Purpose Exemption for: Photolithography 10-Year Specific Exemption for: Manufacturing Equipment Facilities-Related Equipment Chemical Container Systems Page 29

30 SEMI Recommendations on Exemptions Our Current Worst-Case Prediction Given the Current Situation Listing PFOA in Annex A 5-Year Specific Exemption for: Photolithography Manufacturing Equipment Facilities-Related Equipment Chemical Container Systems Addition of PFHxS to PFOA Restriction (Based on Norway Proposal) Page 30

31 SEMI Recommendations on Exemptions Our Current HORRIBLE Prediction Given the Current Situation Listing PFOA in Annex A No Exemptions Addition of PFHxS to PFOA Restriction (Based on Norway Proposal) Page 31

32 Next Steps and Request for Collaboration Need to Work Together to Secure Appropriate Exemptions Don t Assume Stockholm COP Will Consider PFOA to Be Like PFOS Cannot be contradictory between different industry associations Need Greater Voice From Related Industries (PV, LED, Display, MEMS, Sensors, FHE) Need Better Data and Information to Convey to POP-RC After POP-RC Meeting on October 27, 2017: Extremely Important to Start Outreach to Many COP Members Page 32

33 SEMI Contact Sanjay Baliga SEMI Global Headquarters Milpitas, California, USA Page 33

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