UMC making progress on Circular Economy Center

Taiwanese semiconductor giant United Microelectronics Corporation, or UMC, is constructing its new Circular Economy and Recycling Innovation Center in Tainan.

The 9,000-square-meter center is likely one reason why the company’s research and development spending increased by almost 20 percent to $110 million, or nearly 6 percent of revenue, according to the company’s second-quarter results released July 26

Executives estimate that the $58.8 million Circular Economy & Recycling Innovation Center will recycle 15,000 metric tons of manufacturing waste a year, according to a March 17 press release. They foresee the Center eventually cutting the company’s waste by a third while producing $3.9 million worth of value-added products annually.

“While we have continued to pursue capacity expansions and enhance our R&D capabilities, UMC is also deeply committed to our corporate sustainability goals,” said SC Chien, the company’s co-president and chief sustainability officer. “Working hand in hand with our value chain partners, we believe we can raise the bar for circularity in Taiwan and enhance our industry’s competitiveness through sustainable practices.”

The Center will first process manufacturing waste for reuse or sale, including sludge byproducts into industrial products. Solvents that can’t be recycled will be converted into fuel gas through thermal cracking to help power the facility. Later, the Center will expand its thermal cracking operations to produce more energy.

The Center is one of UMC’s many circular economy initiatives. The company has cut down on its waste disposal throughout its operations to reduce carbon emissions by an estimated 5,000 tons a year, for example. ce/jd