Demerk Group: The golden age of China's semiconductor industry has just begun

According to Reuters, German Merck Group said on Tuesday (May 31) that it has signed a contract to open a semiconductor materials base in Zhangjiagang City, Jiangsu Province, China, which is its largest single electronics business investment in China. The new 69-acre base will house production plants, warehouses and operation centers for thin film materials and electronic specialty gases.

Allan Gabor, president of Merck China and managing director of Merck Electronics Technology Business China, said in a statement: "China is the largest semiconductor end market, with more than half of the world's total chip production going to China. Given the unprecedented capacity investment and expansion of domestic chip manufacturers in China, China is currently also the fastest growing semiconductor manufacturing market in the world. We believe that the golden age of China's semiconductor industry has just begun."

In January this year, Merck announced that it would invest at least another 2 billion yuan in China by 2025 to build and expand a series of localized production, R&D and supply chain facilities for electronic materials, in order to actively participate in and support China's booming semiconductor industry. Reuters reported that 550 million yuan of the investment would be used in the new Zhangjiagang base.