Malaysia to become a hub for SiC and GaN semiconductors thanks to RM9 billion investment from Infineon

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Infineon will be investing RM9 billion in Kedah to boost the production of SiC and GaN semiconductors. This enforces Malaysia's position as one of the regional hubs for semiconductor production.

remarked, “Malaysia is one of Infineon’s main regional hubs and this further investment truly attests to our conducive ecosystem and the capability of our local talent to support long-term growth”.According to a study done by Yole Developpement’s Compound Semiconductor Quarterly Market Monitor, the GaN market is predicted to increase exponentially from USD47 million in 2020 to USD801 million in 2025.

On the other hand, SiC-based semiconductors are also starting to replace Si based solutions for high powered equipments, thanks to better performance in terms of efficiency, size and cost. Examples of their application are in industrial power supply, photovoltaic, transportation, drives, automotive andcharging. As a result, Infineon is targeting SiC-based semiconductor to rake in USD1 billion annually by 2025.

Infineon highlighted in the press release that the current plant in Kulim is already optimised to manufacture 200-millimetre wafers, which perfectly complements the 300-millimetre manufacturing in Villach, Austria, and Dresden, Germany. With the increased output from the third module in Kulim, Infineon will reinforce itself as a market leader in power semiconductors.

Infineon COO, Jochen Hanebeck said, “The expansion of our SiC and GaN capacity is readying Infineon for the acceleration of wide bandgap markets. We are creating a winning combination of our development competence centre in Villach and cost-effective production in Kulim for wide bandgap power semiconductors.”

Infineon is also committed to producing semiconductors in a sustainable manner. “Innovative technologies and the use of green electrical energy are key in reducing carbon emissions. Renewable energies and electro-mobility are major drivers for a strong and sustainable rise in power semiconductor demand,” said Hanebeck.

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