Arizona-based semiconductor giant onsemi has announced a significant investment of over CZK 44 billion (approximately USD 2 billion) to expand its chip manufacturing plant in Rožnov pod Radhoštěm, Czechia. This expansion represents the largest investment in Czechia's history and was facilitated by CzechInvest.
Strategic Importance and Impact
According to Jozef Síkela, the Minister of Industry and Trade, "Chips are the foundation of modern industry. Onsemi's investment gives us a chance to become a European chip superpower and will provide a significant stimulus for the development of the Czech economy, particularly the automotive industry, which is its driving force."
This major expansion aims to boost the production of advanced silicon carbide chips, which are essential for the automotive sector, especially electric vehicles, as they enhance range and efficiency. Currently, onsemi produces ten million chips daily at its Rožnov facility and employs 2,300 people across Czechia, including 200 in its design lab in Brno. The new investment is expected to significantly increase production and development capacity.
Economic and Industrial Benefits
This strategic investment will not only create up to 1,000 jobs but also mark one of the first top-tier semiconductor manufacturing investments in Central Europe. The expanded facility will enhance smart power semiconductor production, elevate Czechia’s international industrial prestige, and contribute more than CZK 6 billion annually to the country’s GDP.
Jan Michal, CEO of CzechInvest, stated, “Onsemi’s latest investment in Czechia is not only one of the biggest foreign investments in the country’s history but also an important step for the development of the technology sector. Our cooperation with onsemi is a superb example of successful support that CzechInvest provides to foreign investors, bringing forth advanced technologies and strengthening the competitiveness of Czech industry.”
Support and Collaboration
CzechInvest has been instrumental in securing this expansion, providing onsemi with support on investment incentives, supplier sourcing, visa matters, and workforce development. This includes education in technical fields and attracting skilled engineers from abroad. CzechInvest is also active in regional development communications to ensure smooth implementation and continued growth.
The expansion underscores Czechia's ambition to become a leading hub for semiconductor manufacturing in Europe, with onsemi's investment poised to drive technological advancement and economic growth.
