Infineon, Hyundai and Kia’s Agreement Over SiC

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With the increasing demand for automotive power electronics, Infineon has been expanding its fabs.

Infineon Technologies has signed a multi-year supply agreement with Hyundai Motor Company and Kia Corporation for silicon carbide (SiC) and silicon (Si) power semiconductors.

Infineon is going to set up and keep manufacturing space to provide Hyundai/Kia with SiC and Si chips and modules until 2030. In return, Hyundai/Kia will help finance this expansion and reservation of space.

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Power semiconductors play an important role in the shift towards electromobility, with Infineon as a major manufacturer. This shift is expected to fuel robust market growth for power semiconductors, especially the ones that use  wide bandgap materials such as SiC. 

The press release stated that Infineon aims to establish the largest 200-millimeter SiC power fab globally with the expansion of its Kulim facility, strengthening its leadership as a high quality  and large-scale provider for the automotive sector.

 Aligning with Infineon’s strategy of having multiple production sites, the Kulim site will supplement the company’s existing manufacturing capabilities in Villach, Austria, and will be complemented by additional capacity growth in Dresden, Germany.

“Infineon stands as a valued strategic partner, boasting steadfast production capabilities and distinct technological prowess within the power semiconductor market,” said Heung Soo Kim, executive vice president and head of global strategy office (GSO) at Hyundai Motor Group. 

“The future car will be clean, safe and smart and semiconductors are at the heart of this transformation. As a trusted partner, we are proud to advance our long-term partnership with Hyundai/Kia,” said Peter Schiefer, president of Infineon’s automotive division.

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