Construction of a semiconductor developer production facility in Pyeongtaek starting in the second half of next year, with production commencing at the end of 2026,
View of Lotte World Tower. ⓒYonhap News, ‘[Dailyan = Reporter Jeong Jin-ju] Handok Chemical, a core semiconductor material company under the Lotte Chemical Group, announced on the 26th that it signed an investment agreement with the Gyeonggi Free Economic Zone Authority and Pyeongtaek City to invest 130 billion KRW in the Poseung area of Pyeongtaek. This is part of Lotte Chemical Group’s strategy to enhance its high-value specialty business.’,
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, ‘Handok Chemical plans to secure a new site of approximately 9,746 pyeong (or approximately 32,221 square meters) in the Poseung area of Pyeongtaek to construct a TMAH (Tetramethylammonium Hydroxide) production facility starting in the second half of next year, with production commencing at the end of 2026. The total investment is estimated at 130 billion KRW.’,
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, ‘TMAH is an irreplaceable core material used in the process of developing fine circuit patterns in semiconductors or displays. Currently, high-purity developers for semiconductors are only produced in South Korea, Taiwan, Japan, and the United States, and Handok Chemical’s plant has been designated as a national strategic technology commercialization facility.’,
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, ‘Through this investment agreement, Lotte anticipates reducing logistics costs, securing supply stability, and responding to new demand. The new facility will reduce the logistics distance to existing major clients such as Samsung Electronics, SK hynix, Samsung Display, and LG Display to about one-sixth, thereby decreasing logistics costs. It can also respond to new demand from the creation of semiconductor mega-clusters and the expansion of OLED production.’,
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, ‘Lotte Chemical Group is adjusting its business portfolio by reducing its focus on general petrochemical products due to intensified global competition and sluggish demand, especially with large-scale expansions in China. It is reallocating resources to foster new growth ventures like specialty materials. Despite challenging market conditions, it plans to continue investing to secure future competitiveness.’,
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, ‘Lotte Precision Chemical CEO (designate) Jeong Seung-won said, “Handok Chemical will further solidify its position as the global leader in semiconductor and display core materials, which are national strategic technologies,” and added, “We will support the competitiveness of the domestic semiconductor industry and strengthen the company’s high-value specialty business by securing demand, including the creation of semiconductor mega-clusters.”‘,
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, ‘Meanwhile, Handok Chemical is the world’s leading manufacturer of TMAH, a semiconductor developer, and was established in 1995 as a 50-50 joint venture between Lotte Precision Chemical and Japan’s Tokuyama.\n’]