EMD Electronics will invest $28 million to build a new factory in Chandler, AZ to manufacture equipment for its Delivery Systems & Services (DS&S) business. As part of the company’s Level Up program, the facility will enable DS&S to capture and grow its gas and chemical delivery systems business in the targeted regions of North America and Europe, with supplemental capacity to supply Asia.
EMD Electronics, the North American Electronics business of Germany-based Merck KGaA, expects to start operations in the new factory by the end of 2022. At full ramp-up, it will employ more than 100 total employees.
“A record number of greenfield capital projects indicates that the momentum of our industry is set to remain strong,” said Katherine Dei Cas, Head of the Delivery Systems & Services business unit within the Electronics business sector of Merck KGaA, Darmstadt, Germany. “The opening of our new factory shows our commitment to further support our customers’ ambitious growth plans. We are proud to expand our production capacity and innovation footprint in Arizona and to contribute to the state’s development as a major semiconductor hub in the U.S.”
“Arizona is excited to welcome EMD Electronics’ new factory,” said Governor Doug Ducey. “EMD Electronics’ Delivery Systems and Services expansion is a valuable addition to our state’s thriving semiconductor ecosystem, increasing manufacturing and transportation capabilities critical to the semiconductor production process. We look forward to continuing to grow Arizona’s unrivaled semiconductor supply chain.”
The new factory will be designed to meet forecast business needs by providing additional capacity, primarily for GASGUARD and CHEMGUARD systems. The investment is an essential part of the business sector’s Level Up growth program, which seeks to capture growth opportunities that come along with the significantly accelerating global demand for innovative semiconductor and display materials. The new factory will supplement the company’s ability to support customers’ investments in the U.S. and boost its overall global footprint of manufacturing facilities around the globe.
“EMD Electronics’ investment in Chandler advances its position as a global semiconductor materials leader,” said Sandra Watson, President and CEO of the Arizona Commerce Authority. “The company’s enhanced presence will bolster Chandler’s position as a technology hub, creating quality jobs and supporting existing semiconductor leaders in the state.”
“The Chandler Airpark Area employment corridor’s infrastructure, central location and highly skilled workforce has a track record of attracting renowned companies like EMD Electronics,” said Chandler Mayor Kevin Hartke. “EMD Electronics is a respected leader in the semiconductor industry and we look forward to strengthening our relationship with them and advancing Chandler’s leadership position as the premier destination for semiconductor investment in the world.”
“There’s a ripple effect occurring as the semiconductor industry has its sights set on Greater Phoenix, and EMD Electronics’ expansion to Chandler shows that trend in action,” said Chris Camacho, President and CEO, Greater Phoenix Economic Council. “With the increased presence of this international innovator in our region, the local semiconductor ecosystem continues its upward trajectory as a global leader.”