Infineon expands footprint with new backend fab in Thailand

The company says that the new manufacturing site – which is supported by the Thailand Board of Investment (BOI) – will be essential to meet the growing demand for power modules and to support Infineon's overall growth at competitive cost, while also diversifying Infineon's manufacturing footprint.

The first building is planned to be ready for operations at the beginning of 2026 and further ramp-up will be managed flexibly in line with market demand. 

"As decarbonisation and digitalisation are strong structural growth drivers for the semiconductor industry, we are establishing a state-of-the-art backend fab in Thailand to meet future customer demand and strengthen supply chain resilience. This investment is a key step in our strategy to further diversify our manufacturing footprint and optimise it in terms of costs, while matching the expansion of our frontend capacities," says Rutger Wijburg, COO of Infineon, in a press release. "Our new backend site is designed to operate with high efficiency, resilience and quality, ensuring that we can reliably deliver high-quality products to our customers."

For 2025, all expenditures of the new site are already included in the Capex projections of the company. 

By enhancing partnerships with local businesses and institutions, Infineon looks to strengthen the semiconductor ecosystem and the development of a skilled workforce. Through close collaboration with universities and local entrepreneurs, the company will help to grow a talent pool of skilled engineers with expertise in advanced semiconductors. A comprehensive training and education program to improve competencies in AI, digitalization and automation has been developed. The first group of Thai engineers successfully completed this training program at other Infineon sites.