Merck plans to invest in the construction of advanced semiconductor integration base in Zhangjiagang

June 1, 2022

Core Tip: On May 31, Merck, the world's leading technology company, announced today that the cloud has signed a contract to settle in Zhangjiagang. It will further focus on the semiconductor industry chain through its largest single investment in electronic technology business in China, and plans to invest in Zhangjiagang to build advanced semiconductor integration. Bases - including semiconductor material production bases, warehouses and operation centers, further optimize and upgrade localization capabilities to make positive contributions to the current booming integrated circuit industry and empower China's electronic information industry.
On May 31, Merck, the world's leading technology company, announced today that it has signed a cloud contract to settle in Zhangjiagang, and will further focus on the semiconductor industry chain through its largest single investment in electronic technology business in China, and plans to invest in Zhangjiagang to build an advanced semiconductor integration base—— Including semiconductor material production bases, warehouses and operation centers, further optimize and upgrade localization capabilities to make positive contributions to the current booming integrated circuit industry and empower China's electronic information industry.
It plays a key role in helping China's semiconductor industry become bigger and stronger and promoting the innovation of China's electronics market.

Han Wei, Secretary of the Zhangjiagang Municipal Party Committee, said: Zhangjiagang is an important node hub city with a strong economic foundation in the Yangtze River Delta region of China, and is striving to build an industrial innovation cluster represented by characteristic semiconductors. During the "14th Five-Year Plan" period, Zhangjiagang also focused on the industrial chain of new materials, digital economy and advanced semiconductors, which is highly consistent with the strategic planning of Merck's electronic technology business. It is believed that the signing of this project will surely inject surging impetus into Merck Group's smooth advancement of the global "upward attack" plan, and will also activate a powerful engine for Zhangjiagang's "light-packed battle and accelerated industrial transformation".

Currently, Merck Electronics Technology operates three high-tech manufacturing plants in mainland China, located in Shanghai Jinqiao, Shanghai Waigaoqiao and Jiangsu Suzhou, responsible for the production and marketing of various display and semiconductor materials, as well as electronic specialty gases and high-purity chemicals safe delivery system for products. Merck's advanced semiconductor integration base settled in Zhangjiagang, which will further enhance Merck's strategic layout in the Yangtze River Delta region. Merck will rely on the Yangtze River Delta region as the region with the largest integrated circuit scale, the highest output value, talent enrichment and huge market potential, and link upstream and downstream enterprises to jointly build an internationally competitive semiconductor industry chain.

Merck announced that it will invest at least RMB 1 billion in its electronic technology business in China by 2025, which will be used for the production, research and development of electronic materials, and the localization and expansion of the supply chain, with a focus on the semiconductor field.

Through a series of strategic mergers and acquisitions and successful integrations in recent years, Merck has become an electronic material supplier with one of the broadest and most complete material product lines in the global semiconductor manufacturing industry, and its product portfolio covers all key aspects of wafer processing— Ion implantation, patterning, deposition, planarization, etching, cleaning, and post-package testing; Merck also customizes supply systems for special chemicals and gases for fabs, and can provide on-site service and equipment management. At present, Merck has long-term supplied more than 150 kinds of high-purity chemicals and electronic special gas materials to more than 100 chip manufacturers in mainland China. In addition, Merck's most comprehensive and extensive product coverage "Merck Electronic Technology China Center" will be completed and officially put into use in the second half of this year. The center will provide analysis and testing for various semiconductor and display materials. and sampling services to provide comprehensive technical services and customized material solutions for local customers and partners in China.