Pass Global Crystal Investment $449 Million To Expand Production In South Korea Response: Still Considering

According to foreign media reports, according to foreign media reports, semiconductor wafer manufacturers worldwide wafers and South Korean local governments reached a cooperative factory expansion agreement, initially agreed to invest 480 billion won or the equivalent of 449 million US dollars, including 200 million US dollars of foreign direct The investment will be used to expand the production capacity of 12-inch silicon wafers and is expected to be completed by 2020. In response to this, Global Wafer Clarification stated that the possibility of expanding factories around the country is currently under investigation.

It is reported that the silicon fab to be expanded is located in Tianan City, South Korea, 80 kilometers south of Seoul. It is estimated that it will bring 185 job opportunities in the next five years, and the revenue will be 900 billion won. At present, Universal Crystal is the world's third-largest supplier of silicon wafers. Its market share in 2017 reached 18%. Global Crystal has 26 subsidiaries in 14 countries around the world.

Global Wafer said that it is investigating the possibility of plant expansion in various regions. In countries such as Japan, South Korea, and the United States of the existing plant areas, the government’s incentive and subsidies are also one of the survey indicators. It has not yet been finalized, whether it is expansion or The possibilities for building a new plant are all under consideration, but other conditions must be met before it can proceed.

Prior to this, Global Silicon Board Chairman Xu Xiulan had stated that the global supply of semiconductor silicon wafers does not need to be substantially expanded. In terms of the global wafers themselves, they will achieve the best use of space in existing plants and make good use of space. Increase the bottleneck process. To build a new factory requires three conditions, the first is the number of reasonable, stable and healthy prices, and the second is to have clear (5 years) customer orders. Third, only cover new specifications and the most advanced new plants.

In addition, foreign media reported that Global Wafer's Japan GWJ will invest approximately 8.5 billion yen in three years to increase production of semiconductor silicon wafers. The target is to increase 12-inch wafers by 110,000 in the first half of 2019. At present, global crystal order visibility has reached 2020, and production capacity has been booked more than half. It also represents the overall operating performance of 2019. This year, the prices of 6, 8 and 12-inch silicon wafers will all increase compared to last year, and the increase will be better than in the fourth quarter of last year. The expected price will continue to rise next year.