Infineon Technologies invests additional €5bn in MY, expands Kulim plant

share on

twitter /
facebook /
linkedin /
- email
- telegram
- whatsapp
- wechat
- pinterest
- line
- snapchat
- reddit

Global semiconductor company, Infineon Technologies (Infineon) has announced the expansion of its Kulim facility, over and above the original investment announced in February 2022. Now, it is set to build the world’s largest 200-milimeter silicon carbide (SiC) power fabrication plant, with an additional investment of up to five billion euros over the next five years.

According to Infineon, the investment will lead to an annual SiC revenue potential of about seven billion euros by the end of the decade, along with the planned 200-millimeter SiC conversion of Villach and Kulim. The company added that this manufacturing base will support Infineon’s SiC market share target of 30% towards the end of the decade.

Don't miss: Elon Musk and Tesla enter MY: An opportunity or threat to the local economy?

“The market for silicon carbide shows accelerating growth, not only in automotive but also in a broad range of industrial applications such as solar, energy storage and high-power EV charging. With the Kulim expansion, we will secure our leadership position in this market,” said Jochen Hanebeck, CEO of Infineon.

He added that the company is leveraging its competitive position of cutting edge SiC trench technology, package portfolio as well as unrivalled application understanding in order to gain success in the industry.

Malaysian PM, Anwar Ibrahim, shared his appreciation for Infineon’s commitment to creating a significant wide bandgap hub in the country.

"Malaysia is putting in maximum efforts to meet its national target to decarbonise its economy and achieve net zero by 2050. Malaysia’s continued appeal as a preferred investment destination comes with a well-established landscape for developing innovative and sustainable technologies, said PM Anwar.

In this vein, Infineon’s vision on green technology and sustainability puts it right at home in Malaysia. "Infineon and other well-established German corporations’ continued faith in Malaysia is a vote of confidence in Malaysia's new economic growth agenda premised on inclusivity and sustainability, enabled by strong policies on knowledge transfer, quality investments, business enablement and socio-economic well-being based on equitable sharing of the nation’s wealth," he explained.

The Minister of Investment, Trade and Industry (MITI), Zafrul Aziz said that Infineon’s expansion of its Kulim facility marks a significant milestone in Malaysia’s pursuit of developing advanced manufacturing capabilities, creating high-skilled employment opportunities and positioning the country at the forefront of enabling green technologies, which are crucial for Malaysia to achieve its global sustainable development goals.

“The innovative power semiconductor technologies manufactured in the SiC Power Fab will also bolster Malaysia's position as a key player in the world's semiconductor ecosystem, with a growing role specifically in the sustainable technology supply chain. I am heartened by Infineon’s sharing of Malaysia's commitment to address the impact of climate change and I look forward to our long-term partnership for the further development of Malaysia’s green technologies ecosystem,” he added.

Infineon joins the likes of Tesla and Amazon Web Services that are establishing its presence in Malaysia. Just last month, Tesla officially entered the Malaysian market. The launch comes four months after Malaysia’s Ministry of Trade and Industry (MITI) approved Tesla’s application to import battery electric vehicles into the country, with this, Tesla can bring in Experience and Service Centres, as well as establish its Supercharger network.

The biggest conference is back! Experience the future of marketing with 500+ brilliant minds at Digital Marketing Asia on 28 - 30 November in Singapore. Uncover groundbreaking strategies that connect leading brands with their target audiences effectively.

share on