DENSO and Fuji Electric join forces to create a new generation of silicon carbide power semiconductors

Denso and Fuji Electric have announced that they will establish a new production system in the next few years to focus on manufacturing new power semiconductors based on silicon carbide (SiC). Denso will be responsible for the production of wafer substrates, while Fuji Electric will be responsible for the production of silicon carbide semiconductors. The two companies plan to ensure that 310,000 chips can be produced annually from May 2027 by strengthening their factories in Koda-cho, Aichi Prefecture, Inabe City, Mie Prefecture, and Matsumoto City, Nagano Prefecture. Denso particularly emphasized its efforts to promote energy conservation and miniaturization of electric vehicle parts, thanks to the development of its silicon carbide power semiconductor business. In addition, Fuji Electric also plans to invest 180 billion yen in equipment in its semiconductor business over the next three years, an increase of 15% over the previous three years. With the growth of renewable energy fields such as electric vehicles and photovoltaic panels, demand for silicon carbide is also expected to increase. Fuji Electric's current power semiconductors mainly use silicon materials, but in the field of electrical components including electric vehicles, modules made of silicon carbide account for 1% of revenue in fiscal 2023. The company plans to increase this to 20% by fiscal 2026.