Infineon Technologies delays construction of new plant in Malaysia due to semiconductor industry downturn

Due to the recession in the semiconductor industry, Infineon Technologies has decided to postpone the second phase of construction of its new plant in Kulim, Malaysia, while cutting investment by 10%. The project, known as the "giant factory", was originally planned to invest 7 billion euros in total, with an investment of 2 billion euros in the first phase. It will use purchased SiC wafers to produce SiC power semiconductors and is expected to start operations at the end of 2024. The investment in the second phase is as high as 5 billion euros, with the goal of building the world's largest 200mm SiC power plant, which is expected to create up to 4,000 jobs. Infineon's full-year revenue in 2024 was 14.955 billion euros, down 8% year-on-year, and its profit was 3.105 billion euros, down 28% year-on-year.