A manufacturer of specialty wafers used in the production of semiconductors will add a second facility in eastern Michigan, company officials announced.
SK Siltron CSS, a U.S. subsidiary of South Korea’s SK Group conglomerate, will invest $300 million in the new site in Bay City, located near its current plant in Auburn, Michigan. The company expects to add as many as 150 skilled workers and professional engineers over three years, which would more than double its existing Michigan workforce.
SK officials said the Bay City facility would provide manufacturing and R&D of advanced materials, particularly for the automotive sector. The company says its silicon carbide wafers are more efficient at handling high power levels and conducting heat than conventional silicon. Its power components enable more efficient transferring of electricity from the battery to the motor in electric vehicles, which could increase their range by 5% to 10%.
"The rise in popularity of electric vehicles has the auto industry searching for new innovative technologies to meet customer demand,” SK Siltron CSS CEO Jianwei Dong said in the announcement. “Our Michigan expansion will allow us to manufacture advanced materials that can enhance the performance of an EV and support the growth of a more sustainable automotive future.”
The announcement comes amid a global shortage of semiconductors in the wake of the COVID-19 pandemic and as the White House seeks to build up the U.S.’s electric vehicle supply chain.
“The automotive industry has a tremendous opportunity with the rise of the electric vehicle, and we’re excited to see companies like SK Siltron CSS expanding to help support the transition to a green future,” said U.S. Commerce Secretary Gina Raimondo.
