
Infineon opens €2bn Kulim power fab

Infineon Technologies has officially opened the first phase of its new power fab in Kulim, Malaysia.
Infineon says the €2bn Kulim fab will become the world’s largest and most competitive 200mm silicon carbide (SiC) power semiconductor fab and also produce gallium nitride (GaN) devices.
The first phase of the fab is the result of a €2bn investment in the production of SiC power semiconductors from bought in SiC wafers and will also include gallium nitride (GaN) epitaxy, creating 900 jobs. Production is expected to start by the end of 2024.
The second phase, with an investment of up to €5bn, is the step that will create the world’s largest and most efficient 200mm SiC power fab with up to 4.000 jobs will be created overall. This will compete with Wolfspeed in New York state the US as well as European power-to-chip plants from STMicroelectronics in Catania, Italy and onsemi in Czechia.
Infineon says it has secured design wins of €5bn and has received approximately €1bn in prepayments from existing and new customers for the ongoing expansion of the Kulim 3 fab. These design wins include six OEMs in the automotive sector as well as customers in the renewable energy and industrial segments.
Kulim 3 will be closely connected to the Infineon site in Villach, Austria, Infineon’s global competence centre for power semiconductors, where the company has already increased the capacity for SiC and GaN power semiconductors. Both manufacturing sites now share technologies and processes which allow for fast ramping and smooth and highly efficient operation.
“New generations of power semiconductors based on innovative technology such as silicon carbide are an absolute prerequisite to achieving decarbonization and climate protection. Our technology increases the energy efficiency of ubiquitous applications such as electric cars, solar and wind power systems and AI data centres. We are therefore investing in the largest and most efficient high-tech SiC production facility in Malaysia, backed by strong customer commitments,” said Jochen Hanebeck, CEO of Infineon Technologies at the opening overnight.
“Since the demand for semiconductors will constantly rise, the investment in Kulim is highly attractive to our customers, who are backing it with their prepayments. It also increases the resilience of the supply chain for critical components needed for the green transition.”
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“Infineon’s remarkable project reinforces Malaysia’s position as a rising major global semiconductor hub” says Malaysian Prime Minister YAB Dato’ Seri Anwar Ibrahim. “This major investment, which will locate the world’s largest and most competitive SiC power fab on our shores, will create jobs and opportunities, as well as attract suppliers, universities and top talent. Moreover, it will support Malaysia’s efforts to protect our climate by boosting electrification and increasing the efficiency of many applications, including electric cars and renewable energy. Thus, technology made in Malaysia will become a central part of global decarbonization efforts in the future.”
“Infineon’s deeply rooted presence in Kulim is a testament to the region’s potential as a hub for high-tech industries,” says Kedah Chief Minister YAB Muhammad Sanusi Md Nor. “This investment will not only create high-value job opportunities for the local community, it will also catalyze economic growth in the region. We are committed to continue providing top business conditions in Kedah and supporting Infineon’s efforts to establish a leading semiconductor facility in Kulim, which will have a positive ripple effect on the entire ecosystem.”
The Kulim 3 fab will be powered by 100% green electricity and will use the latest energy efficiency measures, including a state-of-the-art abatement system and green refrigerant chemicals. Other measures to ensure sustainable operations include recycling of indirect materials and water efficiency and recycling processes.
