ASM Plans to Invest KRW 135 Billion to Expand its Research and Manufacturing Facilities in Gyeonggi Province

○ On May 24, Gyeonggi Province Governor Dong Yeon Kim attended the groundbreaking ceremony for ASM's semiconductor equipment research...

○ On May 24, Gyeonggi Province Governor Dong Yeon Kim attended the groundbreaking ceremony for ASM's semiconductor equipment research and manufacturing facility.
○ Collaboration with Gyeonggi Province's small and medium-sized enterprises is planned for the production of 70% of materials and components.
- Expectations for securing the technological competitiveness of domestic semiconductor companies and fostering cooperation with local small and medium-sized enterprises.

Global advanced semiconductor process equipment manufacturer ASM plans to invest KRW 135 billion in Hwaseong City’s Dongtan district to significantly expand its new research and manufacturing facilities.

At the ASM Korea groundbreaking ceremony held on May 24 in Hwaseong, Governor Dong Yeon Kim stated, "ASM is one of the most exemplary investment companies," and expressed his welcome, saying, "When ASM is connected with the existing semiconductor production complex and nearby sub-material companies, Gyeonggi Province will undoubtedly be fully realized as a world-renowned semiconductor mecca. If Gyeonggi Province can offer any support, we will exert all our efforts to assist."

Benjamin Loh, CEO of ASM, stated, "Activities in Korea are crucial for ASM's growth. The facility in Hwaseong will serve as a global center for plasma-enhanced atomic layer deposition equipment (PEALD) business, not only for major customers in Korea. The technology developed by the Korean R&D team is essential for advanced semiconductor manufacturing worldwide."

ASM is the new name of ASM International (ASMI), one of the top 10 global semiconductor equipment companies. Headquartered in Almere, Netherlands, it has 3,300 employees in 14 countries worldwide and holds over 1,200 patents in the field of semiconductor equipment.

Following the signing an investment agreement with Gyeonggi Province in 2015, ASM invested KRW 87 billion in January 2019 to establish a semiconductor deposition equipment research and manufacturing facility in the Dongtan Advanced Industrial Complex in Hwaseong City, employing 440 people. ASM Korea plans to invest an additional KRW 135 billion by 2025 to establish a semiconductor deposition equipment research and manufacturing facility on the adjacent 7,400-square-meter site, creating more than 200 jobs.

This investment is drawing attention as it was decided only a few months after Governor Kim actively encouraged investment by meeting with representatives from ASM headquarters and the Korean branch. Governor Kim met with Paul Verhagen, CFO of ASM, in October last year and invited ASM Korea President Kim Yong-gil to the 'Roundtable Meeting for Attracting Investment for Future Growth and Innovative Companies' in November. Governor Kim recommended investment in Gyeonggi Province to Verhagen, the CFO who showed interest in Korean investment, and Kim Yong-gil, who led to the actual groundbreaking ceremony.

ASM's investment in Gyeonggi Province encompasses the only facility among ASM's global facilities that combines research and development capabilities with manufacturing facilities. ASM Korea's semiconductor deposition equipment incorporates technology commercialized by ASM that is based on indigenous technology developed by Korean companies. As ASM Korea plans to collaborate with Gyeonggi Province's small and medium-sized enterprises for the production of 70% of materials and components, it is expected to significantly contribute to active cooperation with local companies.

Meanwhile, the groundbreaking ceremony was attended by ASM Board Chair Pauline van der Meer Mohr, ASM CEO Benjamin Loh, and Hwaseong City Mayor Jeong Myeong-geun. Also participating were Kim Wan-ki, Director of the Trade and Investment Division at the Ministry of Industry, Trade, and Resources; Shin Mi-suk, Economic and Labor Committee member of the Gyeonggi Provincial Assembly; Kim Kyung-hee, Chairman of the Hwaseong City Council; Kim Yong-gil, President of ASM Korea; H.E. Joanne Doornewaard, Ambassador of the Netherlands in Korea; Kim Tae-hyung, CEO of Invest Korea; and more than 150 others.