Germany's Merck To Launch Semiconductor Base In China - Merck (OTC:MKKGY)

German semiconductor supplier of chemicals and materials Merck KGaA MKKGY forged a contract with local authorities to open a semiconductor base in China's Zhangjiagang, Reuters reports.
The new 69-acre base will house production plants for thin-film materials and electronic specialty gasses, warehouses, and operation centers.
Previously Merck disclosed plans to invest at least another one billion yuan ($150.18 million) in China by 2025 to support the chip industry. Of that amount, 550 million yuan ($82.60 million) will go towards the new Zhangjiagang base.
Merck described it as its most significant single electronics business investment in the country.
"China is the largest end market for semiconductors, with more than half of the world's total chip output going to China. Given the unprecedented capacity investment and expansion of domestic chip manufacturers, China is currently also the fastest-growing semiconductor manufacturing market worldwide," Merck China President Allan Gabor said.
Zhangjiagang is under the administration of Suzhou city, which is 100 kilometers east of Shanghai.