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Issue 1469 May 6, 2012
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Ebullient officials applaud announcement of Hemlock Semiconductor plant in Tennessee in 2008.

SUN PEEKING OUT? Hemlock, Reeling From TN Closure, Hopes Clouds Clear

April 15, 2015       Leave a Comment
By: Dave Rogers

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Is solar energy still an industry of promise, or is it mired in unresolvable global trade cross currents?

Hemlock Semiconductor, an arm of Dow Corning Corp., is still reeling from closure of a billion dollar plus plant in Clarksville, Tennessee.

Hemlock makes polycrystalline silicon used in the manufacturing of solar cells and modules.

However, trends may yet favor solar and help Hemlock recoup from last year's Tennessee setback. The solar industry now is said to be growing around the world.

China needs big solar to displace coal pollution and bolster a domestic manufacturing industry near collapse for most of the past three years.

The business publication Barron's sees solar sparking, especially if oil prices stay low.

Joy for solar could return to Hemlock like Mudville would have lit up if Casey had hit a homer instead of striking out, as the 1888 poem related.

In December 2014, Hemlock's president Denise Beachy lamented: "the continued market adversity and complex political conditions have left no economically viable options for Hemlock Semiconductor to operate the site."

Ms. Beachy announced the Clarksville plant was being closed permanently based on "sustained adverse market conditions created by industry oversupply and ongoing challenges presented by global trade disputes."

Business sages have been scratching their heads over China's tactics, government subsidies, tariff barriers and other shenanigans that have cast a pall on places like Clarksville and Hemlock.

The Clarksville newspaper, the Chronicle-Leaf, compiled a timetable of the plant's initial promise and ultimate woe:

"December 2008 - the Hemlock Semiconductor Group announced planning for a $1.2 billion polycrystalline silicon plant initially employing 500. First phase of construction was to be completed in 2012.

"January 2009 - Regional Planning Commission approves site plan for plant off Guthrie Highway. The development was to cover 487 acres of the 2,152-acre project. Plan includes a 20,000-square-foot facility at Eighth and College streets with a 4,200-square-foot lab, classrooms and faculty offices.

"February 2009 - The State of Tennessee announced a grant to Austin Peay State University (APSU) of $6.4 million to start a new curriculum to train employees for work in the plant.

. "March 2009 -- Groundbreaking ceremony held.

"April 2010 - New associate degree in chemical engineering technology approved for APSU.

"September 2010 - A two-story, 20,068-square-foot chemical engineering building equipped with $2 million worth of equipment donated by Hemlock opens at APSU.

"December 2010 - Clarksville plant operators travel to the Hemlock, Michigan, plant for hands-on training.

"May 2011 - Hemlock confirms it is negotiating with Tennessee officials on an incentive package for a potential $3 billion expansion of the Clarksville plant.

"July 2011 - Praxair Inc., a spin-off operation, signs a multi-year contract with Hemlock to generate and supply high-purity liquid hydrogen.

"September 2011 - Hemlock assures local government and industrial officials construction continues on pace toward late-2012 polysilicon production.

"September 2012 - Officials cut a ribbon at Hemlock Semiconductor LLC Thursday, honoring its efforts to the Green Certification Program; early 2013 production launch forseen.

"January 2013 - Hemlock reports delay in plans to open the Clarksville plant; 300 of the 400 of the employees will be laid off.

"March 2013 - Montgomery County Economic Development Council announces that by end of the year, Hemlock will take over the debt payments on the $20 million the county borrowed to buy land for the plant.

"September 2014 - Industrial Development Board accepts Hemlock donation of 833 acres potentially for another large employer in the future.

"December 2014 - Hemlock announces the Clarksville plant is permanently closed."

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Dave Rogers

Dave Rogers is a former editorial writer for the Bay City Times and a widely read,
respected journalist/writer in and around Bay City.
(Contact Dave Via Email at carraroe@aol.com)

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