Photo Image
Photo Image

soulbrain and Dongjin Semichem will build a semiconductor material plant in the United States. Samsung Electronics will invest KRW 20 trillion to build in Taylor City, United States, and it is a cooperation of South Korean companies for a new semiconductor foundry plant. Because of Samsung Electronics' foundry as an opportunity, South Korean companies' entry into the United States market is also accelerating for cooperation.

According to the industry on the 22nd, soulbrain and Dongjin Semichem have made a decision to build a semiconductor material plant in the United States in cooperation with Samsung Electronics. Construction will begin in the second half of this year and operation is expected in 2024.

An industry official said, "It is known that the two companies are coordinating the details for the construction of the United States plant in order to cooperate with Samsung Electronics' Taylor foundry plant."

Photo Image
<Air view of Dongjin Semichem’s Hwaseong complex>

Samsung Electronics' new semiconductor consignment production (foundry) plant will be built in Taylor. Samsung Electronics will invest KRW 20 trillion to build a second foundry plant in Taylor. This investment amount can build one manufacturing line. There is a strong possibility of additional investment depending on future demand. The Taylor plant site is much larger than the Austin 1st plant site. It is possible to secure additional lines in the long term. This was their respond to the United States semiconductor supply chain reorganization movement. United States President Joe Biden visited South Korea on the 20th and his first schedule was to visit Samsung Electronics' Pyeongtaek semiconductor production base.

This is the first time for soulbrain and Dongjin Semichem to build a semiconductor material plant in the United States. As partners of Samsung Electronics, they have been supplying core materials necessary for the production of DRAM and NAND flash. The construction of these plants is very meaningful since they will establish a new cooperative relationship with the construction of Samsung Electronics' foundry. It is interpreted that building plants in the United States is to respond to foundry demand. Semiconductor materials, parts, and equipment are directly connected to the production of advanced semiconductors. Details of soulbrain’s and Dongjin Semichem’s products that will be produced at their United States plants were not disclosed.

Photo Image

Semiconductor materials made by these companies are essential for ultra-fine processes. They are producing etchants, developers, and thinners. They are mainly used to clean, remove, or scrape unnecessary impurities after the exposure process of engraving micro-circuit patterns.

soulbrain and Dongjin Semichem are taking major part of Samsung Electronics' semiconductor manufacturing. They have localized extreme ultraviolet (EUV) photoresist (PR) and ultra-high purity hydrogen fluoride, which are the three major export restrictions from Japan. They have succeeded in jointly developing a product that had been dependent on foreign countries due to the high level of technical difficulty with Samsung Electronics.

There is also a forecast that soulbrain and Dongjin Semichem will produce visible results in the semiconductor material field based on demand from Samsung foundry. Both companies achieved KRW 1 trillion in sales in the materials industry by increasing their dominance over semiconductor etchants and developers last year. This year, it is predicted that they will set their records in their sales and profits since the semiconductor material performance will be reflected in earnest. soulbrain and Dongjin Semichem are also rushing to hire professional personnel for their entry into the United States market.

Photo Image
<Samsung Electronics’ Pyeongtaek Campus>

By Staff Reporter Ji-woong Kim (jw0316@etnews.com)