Merck Group China Zhangjiagang Semiconductor Integrated Base Officially Starts Groundbreaking
- Merck Group China has focused on the semiconductor industry chain through its largest single investment in electronic technology business in China, building a semiconductor base integrating production, warehousing, logistics and distribution in Zhangjiagang. The groundbreaking ceremony of the project was officially held.
- The investment and construction of this base is a core component of Merck Group China's "Upward Attack" China investment doubling plan. Merck Group China will further empower China's integrated circuit industry with optimized and upgraded localized production and supply chain layout.
Shanghai, September 15, 2022 — Merck Group China, the world’s leading technology company, announced today that it has officially started laying the groundwork for its Zhangjiagang integrated semiconductor base. Through the new mass production factory, chemical warehousing and logistics distribution center for semiconductor thin film materials and electronic specialty gases, Merck Group China will further focus on the semiconductor industry chain, accelerate electronic technology business with optimized global network and upgraded localization capabilities to serve the rapid development needs of chip manufacturers, wafer foundries and packaging and testing companies, make positive contributions to the current booming integrated circuit industry, and empower China's electronic information industry.
Fang Wei, Vice Governor of the Jiangsu Provincial Government, Huang Lan, Deputy Secretary-General of the Provincial Government, Chen Tao, Director of the Provincial Department of Commerce, Shi Jiahong, Vice Mayor of the Suzhou Municipal Government, Han Wei, Secretary of the Zhangjiagang Municipal Party Committee, An Gaobo, President of Merck Group China and Managing Director of Electronic Technology Business China, and other leaders jointly laid the foundation for the Merck Group China Semiconductor Integrated Base.
At the beginning of 2022, Merck Group China Electronic Technology announced its "Upward Attack" China investment doubling plan. It plans to invest at least 1 billion yuan (approximately 130 million euros) in its electronic technology business in China by 2025. The new investment will focus on the semiconductor field. As an important part of the "Upward Attack" China investment doubling plan, Merck Group China's integrated semiconductor base is located in the Yangtze River International Chemical Park under the Zhangjiagang Free Trade Zone, covering an area of about 69 acres. It will build a new mass production plant for semiconductor thin film materials and electronic specialty gases, as well as an integrated warehousing and logistics distribution center for key materials related to semiconductor processes. The fixed asset investment in the first phase of the project is approximately RMB 550 million. Its logistics distribution center and production factory will be completed and put into operation in the first quarter and fourth quarter of 2023 respectively.
The thin film deposition process is one of the most critical processes in the integrated circuit manufacturing process. Semiconductor thin film materials are the key materials in the thin film deposition process. In the key links of the wafer processing process, every step from deposition, doping, etching to post-packaging testing is inseparable from electronic special gases. The Merck Group China Semiconductor Integrated Base will provide logistics and warehousing for key materials in the semiconductor process including a variety of thin film materials and electronic specialty gases. At the same time, the base plans to mass-produce semiconductor thin film precursor materials that bring together a number of core technologies. Its local production will help fill the production capacity gap of domestic thin film precursor materials; and the high-purity electronic special gas planned to be put into production at the same time is a key material in the advanced memory chip manufacturing process. Its local mass production will also provide a solid guarantee for the raw material supply and stable production of major memory chip manufacturers. Allan Gabor, President of Merck Group China and Managing Director of Electronic Technology Business China, said: "The booming development of the digital economy means continued strong demand for the semiconductor industry. The construction of Merck Group China's integrated semiconductor base will further enhance our strategic layout in the Yangtze River Delta region. Relying on the regional advantages of the Yangtze River Delta region as the largest domestic integrated circuit scale, the highest output value, rich talent and huge market potential, Merck Group China will be able to provide comprehensive technical services and customized integrated material solutions to local customers and partners in China with faster response times and shorter delivery times, playing an important role in improving the reliability of the industrial chain and supply chain and comprehensively supporting the coordinated development of the domestic and foreign semiconductor industries. "The concept of sustainable development has always been rooted in Merck Group China's group strategy. The China Semiconductor Integrated Base will adhere to strict environmental health and safety standards, and will be committed to providing customers with sustainable innovation and technology through the implementation of full recycling of production wastewater, green energy procurement, smart energy metering management systems, solar panel power supply systems, and sustainable integration into the industrial value chain, while fully assisting Merck Group China in achieving its goal of climate neutrality by 2040. Semiconductor materials are at the heart of driving the electronics industry, including everything from mobile devices to big data servers. Through a series of strategic acquisitions and successful integrations in recent years, Merck Group China has become an electronic materials supplier with one of the broadest and most comprehensive material product lines in the global semiconductor manufacturing industry. Its product portfolio covers all key aspects of the wafer processing process - ion implantation, patterning, deposition, planarization, etching, cleaning, and post-packaging testing. At the same time, Merck Group China also tailors supply systems for special chemicals and gases for wafer fabs, and can provide on-site services and equipment management. Currently, Merck Group China supplies more than 150 types of high-purity chemicals and electronic specialty materials to more than 100 chip manufacturing companies in mainland China on a long-term basis. In addition, Merck Group China's latest comprehensive electronic technology China center in the world was officially opened in September this year. The center will be mainly used for the analysis, sample preparation, application testing and research and development of various electronic materials, and will focus on material innovation and technological evolution in the semiconductor and display fields.