O’FALLON, Mo. — The White House announcement that an electronics manufacturer in O’Fallon is slated to receive part of a $400 million investment from the federal government came as no surprise to local leaders who have been fostering tech business in the area.
Patrick McKeehan, economic development director for O’Fallon, mentioned that the new funds have long been in progress and will support manufacturer MEMC, LLC in equipping its facility with the necessary machinery to enhance efficiency in producing wafers used in semiconductors and various industries. The company operates as a subsidiary of Taiwan-based GlobalWafers.
The funding originates from the federal CHIPS and Science Act, initiated in 2022 to promote the localization of semiconductor wafer production and advance U.S. technology leadership.
Scott Drachnik, CEO of the Economic Development Council of St. Charles County, expressed his satisfaction that the funding is benefiting American operations.
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“We love the fact that MEMC is addressing the chip shortage,” Drachnik remarked. “The increase in production of those wafers in O’Fallon is positive news for the area.
“O’Fallon is a silicon prairie,” he added.
MEMC plans to utilize the funds to scale up operations and procure equipment, as stated by Karla Chaney, general site manager for the O’Fallon plant. Currently, the facility is manufacturing its standard 200-millimeter silicon-on-insulator wafers alongside a low-volume pilot run of the 300-millimeter silicon-on-insulator wafers, commonly utilized in defense and aerospace applications.
“We aim to commence production in 2025 and reach full capacity by the end of the second quarter in 2026,” Chaney projected.
She expressed intentions to recruit over 100 individuals to supplement the current 350-person workforce. MEMC will be seeking maintenance technicians, operators, and engineers next year to populate the new facility.
“They are a foundational element of the economy,” McKeehan affirmed regarding MEMC. “Expediting that investment is favorable for all of us. … There’s a high probability that whenever you interact with something electronic, it contains some element of MEMC produced in O’Fallon.”
Chaney noted a demand for 300-mm silicon-on-insulator wafers from their leading-edge clients, but these customers previously had to procure them from GlobalWafer competitors abroad since no U.S. manufacturer was producing them. Presently, approximately 90% of silicon wafers are supplied from East Asia, as per a U.S. Department of Commerce press release.
“This gives them an alternative,” Chaney explained. “Indeed, they prefer that it originates in the U.S. … Previously, this wasn’t even a possibility.”
Drachnik emphasized MEMC’s recent funding alongside other significant investments made in the region by Boeing, General Motors, and the National Geospatial-Intelligence Agency.
“We have a robust tech sector with ample job opportunities, and we should take pride as St. Louisans and Missourians for that,” Drachnik stated. “Many may not realize the abundance of high-tech jobs in the Midwest. We are making significant progress.”
Patrick McKeehan,
Economic development director for O’Fallon, Mo.