Ssangyong E&C wins ASML building bid for 200 billion won

Rendering of ASML's new facility in Korea [Ssangyong E&C]

Ssangyong Engineering & Construction won a 200 billion ($153 million) contract to build a new facility for the Netherland’s ASML, a chip equipment maker, in Hwaseong, Gyeonggi.

With a floor area of 74,418 square meter (801,029 square foot), the new site will have two buildings to accommodate training and repair centers and other office locations.

The new buildings have 4 underground floors and 11 floors above.

The builder credited price competitiveness and construction capacity for the victory.

The decision to revamp the Korean facility came as the Dutch chip equipment producer is looking to better support two of its main clients, Samsung Electronics and SK hynix, and expand its footing in the region.

Besides serving its clients, the location will be also designed to develop local talent and find smaller suppliers in the local market.

About 30 percent, or 6.7 billion euros ($6.9 billion), of ASML’s total revenue, came from Korea last year.

ASML, which currently has about 2,000 employees in Korea, will hire an additional 1,400 employees over the next 10 years to keep up with growing demand for ASML’s key lithography machines.

“The new center will contribute to bolstering the client base for equipment in Korea,” said ASML Korea Country Manager Lee Woo-kyung.

ASML CEO Peter Wennink visited Korea last year to celebrate the groundbreaking of the facility, emphasizing recent growth in demand from Korean customers.

The Ministry of Trade, Industry, and Energy has worked with provincial and city governments to attract the investment from ASML since 2020.

BY PARK EUN-JEE [park.eunjee@joongang.co.kr]