S. Korean semiconductor giant to build sales center in Wuxi

SK hynix signs an agreement with Wuxi's Hi-tech district to build its Chinese sales headquarters on Sept 3. [Photo/wnd.gov.cn]

Global semiconductor manufacturer SK Hynix will set up its Chinese sales headquarters in Wuxi city, East China's Jiangsu province, to deepen cooperation with the city, local authorities said on Sept 4.

The Korean company signed an agreement with the Wuxi High-tech district on Sept 3 to establish its sales headquarters on the basis of trust built from the parties' long-term cooperative relations, according to the city government.

The sales headquarters is supposed to further optimize the integration of SK hynix's production and sales resources in China. It is estimated that annual sales will exceed $10 billion, making Wuxi its largest Chinese base.

Li Xiaomin (right), Party secretary of Wuxi and the president of SK Hynix, Park Sung Wook, talk about the further development of SK Hynix in Wuxi during the signing ceremony on Sept 3. [Photo/wnd.gov.cn]

Li Xiaomin, Party secretary of Wuxi, said that the city would fully support the full development of the South Korean enterprise, which will increase Wuxi's supply of advanced medical resources.

Li pledged to provide continuous support for SK Group's semiconductor developments and create a sound industrial environment for the further expansion of its investments in the city. He hopes that Wuxi and SK Group will have future cooperation in the fields of energy, chemicals and communications technologies.

During a meeting of Lou Qinjian, Party cheif of Jiangsu province, and SK Group Chairman Chey Tae-won on May 25, Lou suggested that Wuxi and SK hynix should deepen cooperation in semiconductors, including power batteries, medical and educational applications and funding to show the importance attached to the new base by the Jiangsu provincial government.

Affiliated with SK Group, SK Hynix has invested more than $11 billion since it first came to Wuxi in 2005. Its second phase is expected to finish at the end of this year. SK Hynix's hospital project in April is believed to be the group's next move in exploring China's medical care industry.