Semiconductor supplier opens manufacturing, R&D facility in Mesa

A Washington state semiconductor industry chemical supplier has expanded to Mesa with a new manufacturing and research and development facility that will create up to 40 new jobs.

Moses Lake Industries on Tuesday opened its 50,000-square-foot facility at 840 E. Baseline Road in Mesa. The company — a subsidiary of Japanese-based Tama Chemicals — is investing nearly $100 million into the facility to advance semiconductor material development, including “high-purity electrolyte solutions and copper-based materials that are essential components of next-generation technologies,” according to a company release.

Moses Lake Industries joins a growing number of semiconductor suppliers either relocating or establishing operations in the Valley because of its proximity to major industry players and growing technology talent pool.

It's unclear whether the company has already invested $100 million into the site or if it will do so in phases.

“The opening of our new Mesa facility marks a significant milestone for MLI and reflects our deep commitment to supporting our customers at the forefront of semiconductor innovation,” Hiro Era, president and CEO of MLI, said in a statement. “Arizona’s robust semiconductor ecosystem, skilled workforce, and strategic advantages make it an ideal foundation for our continued expansion.”

Although Moses Lake Industries did not disclose how much it paid for its new Mesa facility, Maricopa County records show the company purchased the building for $8.7 million in 2022.

Moses Lake Industries looked at properties in Florence, Casa Grande, Surprise, North Scottsdale and Phoenix prior to choosing Mesa, Brad Wilson, MLI’s director of global strategic partnerships, said.

“The location was chosen by many factors, but it is centrally located to our customers in the Greater Phoenix area,” he said. “We also considered the city of Mesa infrastructure to support our business needs as well as available resource pools for hiring qualified candidates.”

Moses Lake Industries’ new Mesa facility will foster “close engagement” with the research and development teams of its customers while optimizing supply chain efficiency. The building offers dedicated spaces for R&D collaborations, process optimization and customer co-development, according to the company.

Moses Lake Industries has 20 employees at its Mesa facility and plans to double its headcount as it scales operations.

The company is looking to fill engineering, research and advanced manufacturing roles, and is working with Valley trade schools and workforce development programs to tap into a new talent pool of workers.

 “The launch of this advanced manufacturing and R&D center not only strengthens our city’s role in driving global innovation but is also exactly the kind of progress that reflects our commitment to Elevating Mesa —expanding opportunities, investing in workforce development, and fostering long-term economic growth,” Mark Freeman, mayor of Mesa, said in a statement.

Canada-based Hopewell Development was the project developer, while Tempe-based Sun State Builders was the general contractor for the industrial building, according to Maricopa County Assessor’s Office documents.

Company's customers include Intel, Samsung

Founded in 1984, Moses Lake industries initially made “ultra-pure” tetramethylammonium hydroxide, which is used by computer chip companies to etch tiny grooves in silicon semiconductors. The company later branched out to create copper and cobalt compounds used in the electroplating process for semiconductors, the Columbia Basin Herald reported in 2021.

Moses Lake Industries is poised to benefit from sustained growth in the coming decade as the semiconductor industry expands with emerging demand for artificial intelligence, according to the company’s website.

Moses Lake Industries’ largest customers include Intel Corp., Samsung and Micron Technology, according to the Columbia Basin Herald. As of March, the company had 550 workers and operates facilities in Washington state and China, in addition to its new Mesa manufacturing plant.

Since 2020, Arizona has become a national leader in semiconductor-related investment, attracting more than $200 billion in announced capital and creating 25,000 potential new jobs, according to the Arizona Commerce Authority. The Greater Phoenix Economic Council has also put in a concerted effort to lure more Japanese businesses to the region.

Some 50 semiconductor sector companies have relocated to Arizona in recent years, while more than 200 firms operate in the state, including Taiwan Semiconductor Manufacturing Co., Intel, Amkor Technology, ASM International, ASML, NXP, Applied Materials, Microchip and more.

Most recently, SoftBank Group Corp. founder and CEO Masayoshi Son proposed plans to develop a $1 trillion industrial complex in Arizona to build artificial intelligence and robots, according to a Bloomberg report.

The Tokyo-based technology investment giant’s proposed complex in Arizona — dubbed "Project Crystal Land” — is intended to bring high-tech manufacturing back to the U.S. and could consist of production lines for AI-powered industrial robots, Bloomberg reported, citing a person familiar with the matter.

SoftBank is reportedly looking to work with Taiwan Semiconductor Manufacturing Co. (NYSE: TSM) on the AI industrial complex, although it’s unclear what role TSMC would play in the project or whether it’s interested in a partnership with SoftBank.