Kaohsiung: German tech giant Merck Group has inaugurated its Semiconductor Solutions mega site in Kaohsiung, with the facility poised to meet future demand for artificial intelligence (AI) applications. At the event, Kai Beckmann, deputy chair of Merck's executive board, emphasized the site's role in strengthening Taiwan's strategic position in the global semiconductor supply chain.

According to Focus Taiwan, the Kaohsiung site spans approximately 15 hectares within the Southern Taiwan Science Park and is dedicated to producing essential semiconductor materials for next-generation logic, memory, and AI chips. The construction of this facility over the past five years involved an investment of 500 million euros (about US$580 million), aimed at producing technologies for AI applications, including thin-film, specialty gases, and formulated materials.

Merck stated that the site was developed to address the rapidly growing global demand for advanced materials and to enhance the localization, controllability, and resilience of the supply chain. John Lee, Merck Taiwan Chairman, highlighted Taiwan's leadership in wafer foundry, packaging and testing, and IC design but noted the insufficiency of upstream materials. Merck aims to actively supply these critical materials to accelerate next-generation chip innovation and meet the increasing demand for AI chips.

The mega site will generate over 150 high-tech jobs and contribute to local talent development and industrial growth, according to Merck. Deputy Economics Minister Cynthia Kiang remarked that the facility fills a vital gap in Taiwan's semiconductor materials sector, rendering the supply chain more complete and competitive than ever before.