Entegris breaks ground on $600M Colorado facility

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Dive Brief:

  • Semiconductor materials supplier Entegris broke ground on a $600 million manufacturing center in Colorado Springs, Colorado, earlier this month, to support rising demand in the U.S.
  • The build-out will take place in phases, creating an estimated 600 jobs over the next few years, according to a news release. The initial 100,000-square-foot facility will support production of the material maker’s most advanced filtration and purification products and wafer carriers.
  • The new campus, which is slated to begin commercial production in 2025, will double Entegris’ presence in Colorado, Bill Shaner, president of the company’s advanced materials handling division, said in a statement.

Dive Insight:

Entegris is expanding production capacity to accommodate a rise in demand following the passage of the CHIPS and Science Act.

“With our large state-of-the-art facility, we will help shorten the supply chain and more efficiently meet the growing needs of domestic manufacturers,” CEO Bertrand Loy said in a statement. “We are pleased to have found an innovative and competitive home in Colorado Springs.”

The Colorado Springs Chamber and Economic Development Corporation, along with local organizations put together an $115 million incentive package for the project.

The new manufacturing center will develop products critical to the chipmaking process. Entegris said its investment in leading-edge manufacturing and supply chain operations will help position the U.S. as a technology, manufacturing and innovation leader in the industry.

“As a strategic supplier to the semiconductor industry, we recognize that it is more important than ever to invest in the U.S. to maintain and expand the nation’s technology leadership across the semiconductor ecosystem,” Loy said in a statement. The supplier’s manufacturing footprint spans North America, Asia and Europe.

Entegris is not the only industry supplier working to advance domestic chip manufacturing capabilities. This spring, major equipment maker Applied Materials announced plans for a $4 billion research and development center expected to cut the time the industry takes to bring new technologies to market.

Separate from its planned Colorado facility, Entegris is also nearing completion on a separate expansion in Taiwan, with initial production expected to begin in Q3 2023, Loy said on a May earnings call.

“Both the Taiwan and Colorado Springs facilities are critical to address our long term capacity needs,” Loy said.

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