German chip chemical supplier to spend $1 billion in U.S., pairs with Palantir on supply chain data

FILE PHOTO: The logo of U.S. software company Palantir Technologies is seen in Davos, Switzerland January 22, 2020. REUTERS/Arnd Wiegmann/File Photo

(Reuters) - A German supplier of chemicals and materials used in making semiconductors said on Tuesday that it is investing $1 billion in its U.S. operations and forming a joint venture with data analytics firm Palantir Technologies to solve chip industry supply chain problems.

Merck KGaA of Darmstadt, Germany - which uses the name EMD Electronics for its North American electronics business to avoid confusion with the unaffiliated pharmaceutical company of the same name - supplies a range of chemicals used by chip factories, which are expected to expand if U.S. lawmakers pass a $52 billion aide package to bolster domestic manufacturing.