In his State of the State address last week, Gov. Doug Ducey said that Arizona is no longer a “flyover state on the way to Texas.” Based on the recent slew of investment announcements from world-renowned companies, his assessment of the state’s ability to attract and retain growing businesses is on the mark.
On January 11, EMD Electronics, a chemical supplier for semiconductor companies, unveiled its plans to build a new $28 million factory in Chandler. The company has been steadily growing its presence in Arizona since the company acquired Versum Materials in Tempe in 2019.
EMD Electronics is the North American electronics business of Merck KGaA, Darmstadt, Germany. The company’s portfolio includes a broad range of products and solutions for the semiconductor industry.
The new tech center will allow EMD to manufacture equipment necessary to capture and grow its gas and chemical delivery systems in North America, Europe, and Asia.
“Arizona is excited to welcome EMD Electronics’ new factory,” Gov. Ducey said. “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.”
This investment comes just months after Intel, one of the largest semiconductor manufacturers in the U.S., announced the plan to expand into Chandler with Fab-42.
Sandra Watson, president and CEO of the Arizona Commerce Authority, spoke on the competitive edge this investment gives the state, saying, “EMD Electronics’ investment in Chandler advances its position as a global semiconductor materials leader. 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 $28 million factory will be designed with specifications in mind to meet business needs through additional capacity for GASGUARD and CHEMGUARD systems. At full capacity the center is expected to house at least 100 employees. The factory lease is long-term and the company expects to be able to start operations at the end of 2022.
“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.,” said Katherine Dei Cas, head of the delivery systems and services business unit within the electronics business sector of Merck KGaA, Darmstadt, Germany.