Merck considers further investment in Korea

WooKyu Kim, left, managing director of Merck Korea, poses with Katherine Dei Cas, executive vice president and head of the Delivery Systems & Services business unit of Merck, during their visit to the company's office in Ansan, Gyeonggi Province, Thursday. Courtesy of Merck Korea

Merck, a German multinational science and technology company, is considering making further investments in Korea to strengthen its semiconductor supply chain, according to its Korean unit, Thursday.

Merck Korea added that the additional investment plan is aimed at bolstering its supply of chemicals and gases used in the semiconductor production process.

The Korean unit said Katherine Dei Cas, executive vice president and head of the Delivery Systems & Services (DS&S) business unit of Merck, visited Korea to discuss further investments. The DS&S business provides high-quality delivery equipment and storage of specialized chemicals and gases.

The executive vice president inspected production facilities and held internal meetings at Merck’s site in Ansan, Gyeonggi Province. The purpose of her visit was said to be related to planning for additional investment in the DS&S business in Korea.

Merck Korea added that the additional investment in DS&S is currently under review and a specific scale has not been finalized.

As part of its Level Up growth investment plan announced in 2021, Merck said it would invest 600 million euros ($632 million) in Korea by 2025. As part of that plan, Merck acquired the Korean thin film materials company M Chemicals.

“The global semiconductor market’s long-term outlook is strong and so is our commitment to purposefully expand our capacities and services in the immediate vicinity of our customers. We’re excited about the growth trajectory of our Delivery Systems & Services business and looking to take Merck's confidence and business capabilities to a new level in the future of the electronics industry through the investment being reviewed in Korea, following the opening of our new site in Arizona last week,” the executive vice president said.

"The experience and expertise of Hanyang Technology built up in the equipment for the stable supply of gases and chemicals, as well as the (DS&S) business, has been merged with Merck in 2019 to secure global supply capabilities and technological prowess,” said WooKyu Kim, managing director of Merck Korea. The DS&S business of Merck started from Hanyang Technology in 1986 and was finally integrated into Merck when Merck acquired Versum Materials HYT in 2019.

“We are proud to have contributed to the development of the industry so that our customers, who have been leading the global semiconductor industry, can continue to lead the industry through our technological capabilities and experiences that have met the needs of our customers,” Kim added.