BASF SE has announced plans to construct a new Electronic Grade Ammonium Hydroxide (NH₄OH EG) plant at its Ludwigshafen site, expanding its semiconductor materials portfolio and reinforcing Europe’s efforts to establish a more resilient chip supply chain.
The new facility will produce ultra-pure ammonium hydroxide—an essential chemical used in wafer cleaning, etching, and other precision manufacturing processes critical to semiconductor fabrication. Production is slated to begin in 2027, supporting Europe’s growing ecosystem of chip manufacturers and suppliers.
The investment underscores BASF’s commitment to bolstering local supply chain resilience and supporting the European Union’s push for greater semiconductor independence. The move comes amid a surge of new chip plant constructions and expansions across Europe, driven by the EU’s Chips Act, which aims to strengthen regional capacity for advanced chip production.
“With this new plant, we are reinforcing our long-term partnership with the semiconductor industry in Europe,” said Jens Liebermann, Senior Vice President, Electronic Materials at BASF. Gops Pillay, President of BASF’s Global Operating Division, added that the project “further enhances our capabilities and commitment to supporting the semiconductor industry’s growth in the region.”
The NH₄OH EG produced at the Ludwigshafen site will cater to advanced semiconductor nodes, serving sectors such as automotive, artificial intelligence, and high-performance computing. BASF’s investment also follows close collaboration with a strategic partner currently developing a new chip production facility in Europe, underscoring the company’s integrated approach to customer-driven innovation.
BASF is one of the leading global suppliers of high-purity bulk chemicals and specialized formulations for the semiconductor industry, with products spanning cleaning, etching, photoresists, metal deposition, and chemical mechanical planarization (CMP).
