News Article

SK Siltron To Expand SiC Wafer Production In USA


Michigan's economic development agency approved nearly $6 million in incentives for the expansion

SK Siltron CSS LLC, a US subsidiary of Korean conglomerate SK Group, plans to invest almost $303 million to expand SiC wafer production in Michigan. Michigan's economic development agency approved nearly $6 million in incentives.

The expansion will more than double the company's Michigan employee base and add a new site in Bay City, Michigan, to join its existing site in nearby Auburn.

Gov. Gretchen Whitmer said in a statement: “These projects are further proof that Michigan is a place where technology, research and innovation are paired with a fierce work ethic that creates economic opportunities for businesses of all sizes.”

The Michigan Strategic Fund Board has granted a $1.5 million Michigan Business Development Program grant for the semiconductor project. It also approved a 100 percent exemption for up to 15 years of the State Essential Services Assessment required of manufacturers that do not pay personal property tax on eligible property. The exemption is estimated at $4.488 million.

SK is required to hire at least 100 people at the site. The purchase and renovation of a 140,000 square-foot site will allow for the production of SiC wafers.

"SK Siltron CSS is proud to partner with the State of Michigan to build the supply chain and create the skilled jobs required to support the next generation of EVs," SK Siltron CSS CEO Jianwei Dong said in a statement, "ensuring Michigan remains the automotive centre of the world.”

SK is one of three companies in the US producing SiC wafers, according to the MEDC, and has a 5 percent to 10 percent market share after the acquisition of DuPont de Nemours' SiC Wafer last year.

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