Chungnam Signs $120 Million Investment Agreement with Semiconductor Materials Companies

New and Expanded Production Facilities in Gongju and Cheonan

Chungnam Provincial Government Building. /Yonhap

American and Indian companies will invest $120 million (170 billion KRW) to build new production facilities and expand existing ones in Chungnam.

The Chungnam Provincial Government announced on the 18th that it had signed investment agreements with Air Products, a global leader in industrial specialty gases from the United States, and Baba Advanced Materials, an Indian manufacturer of specialty chemical materials for semiconductors, at the provincial government’s main conference room.

Air Products is a world-renowned supplier of industrial gases, related equipment, and application technologies. The company currently operates production facilities in Cheonan and Asan, supplying specialty gases for semiconductor and display manufacturing processes, thereby contributing to the development of domestic industry and job creation.

This investment plan includes the expansion of a factory within Cheonan Industrial Complex No. 3, and the company intends to introduce, for the first time in Korea, specialized equipment for producing ultra-high purity industrial gases.

Baba Advanced Materials was established in 2023 to expand its business in the production and distribution of semiconductor raw materials. It is a subsidiary of 'Acuitas Chemicals,' an Indian manufacturer of pharmaceutical intermediates.

Baba Advanced Materials plans to establish a joint venture named 'IndiChem' with the Korean company 'J&Materials.'

The company aims to secure a stable supply of raw materials for semiconductor photoresists, refine and distribute them domestically, and gradually replace the Japanese companies that currently dominate the semiconductor photoresist supply market.

To achieve this, the company plans to construct a factory in Namgongju General Industrial Complex and begin operations next year.

Kim Tae-heum, Governor of Chungnam, stated, "During the 8th popularly elected administration, we have attracted investments totaling 34.3 trillion KRW, of which more than $3.9 billion is foreign capital," adding, "With this agreement, Chungnam's industrial competitiveness has been elevated to a new level."