Germany-based company Merck on the 22nd completed a production facility for molybdenum, a next-generation semiconductor material, at its Eumseong site in North Chungcheong Province and held an opening ceremony. This move is part of its strategy to strengthen local production and supply capabilities in Korea, where global memory manufacturers such as Samsung Electronics and SK hynix are located.

Molybdenum is a next-generation material used for metal wiring in semiconductor circuits, characterized by lower electrical resistance and higher electrical conductivity than tungsten or copper, which have traditionally been used. As circuits become narrower and memory stacking increases, reducing electrical resistance becomes more difficult, and molybdenum is drawing attention as a next-generation material that can address this challenge. It is currently used mainly in NAND flash and is expected to expand into DRAM and system semiconductors in the future.

Benjamin Hein, CEO of Merck Electronics (photo), who took office in May this year and was visiting Korea for the first time, said at a press conference held in Gangnam-gu, Seoul, on the 21st, “Korea is a very important market for semiconductor material companies. Even if only half of the plans put forward by Korean semiconductor companies for the next five years are realized, it will lead to tremendous growth,” explaining the background for establishing production facilities at the Eumseong site.

As molybdenum attracts attention as a next-generation material, various companies including US-based Entegris and France-based Air Liquide are entering this market. Merck highlighted its differentiation in providing integrated solutions that combine materials and supply systems. CEO Hein stressed that providing integrated solutions can be a major strength in the market, saying, “Customers do not want to purchase materials, containers, and supply equipment separately.” According to Merck, integrated solutions can increase material use efficiency to more than 99%.

Another differentiating factor is local production capability. Merck currently has production bases in Korea, including its Eumseong site and its Ansan site in Gyeonggi Province. CEO Hein emphasized, “Issues need to be resolved on-site within a one-hour driving distance,” adding, “Being able to provide services in the same language and time zone is a major advantage.” Merck has been focusing on expanding its customer base in Korea, including announcing an investment of EUR 600 million (about KRW 890 billion) in Korea in 2021.

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