[Asia Economy (Bucheon) = Reporter Lee Young-gyu] Onsemi, the world's second-largest power semiconductor (PMIC) company, will invest 1.4 trillion KRW in Bucheon, Gyeonggi Province.
On the 7th, Gyeonggi Province announced that it held a groundbreaking ceremony for the manufacturing facility and signed a memorandum of understanding (MOU) with Bucheon City and Onsemi at the Onsemi Korea headquarters located on Pyeongcheon-ro, Bucheon.
According to the agreement, Onsemi plans to invest 1.04 trillion KRW in Bucheon by 2025 to research and develop silicon carbide (SiC) power semiconductors and establish a manufacturing facility capable of immediate production, creating over 500 new jobs.
Additionally, starting with this investment, Onsemi will purchase more than 350 billion KRW worth of materials, equipment, and parts necessary for power semiconductor production from domestic companies.
According to the 'K-Semiconductor Strategy' announced by the Ministry of Trade, Industry and Energy in May last year, silicon carbide is designated as a national strategic industry that must secure early market dominance as a next-generation power semiconductor new material.
Silicon carbide is resistant to high voltage, high power, and high temperature, and is excellent for product lightweighting, attracting high interest from leading global electric vehicle manufacturers.
European countries also competed to attract Onsemi's next-generation power semiconductor research center, but Gyeonggi Province actively led investment negotiations by offering foreign direct investment incentives, and Bucheon City quickly enacted ordinances to promote corporate investment, jointly conducting customized attraction activities.
Gyeonggi Governor Kim Dong-yeon expressed gratitude, saying, "Since taking office, I have spent three out of five working days on semiconductor-related schedules. Yesterday, we achieved the great success of establishing future research centers of the world's top four companies in Gyeonggi Province, and today, Onsemi has made a significant investment decision worth 1.4 trillion KRW."
He added, "83% of the semiconductor added value produced in Korea is generated in Gyeonggi Province. Let us work together to make Gyeonggi the world semiconductor mecca, including the upcoming semiconductor cluster in Yongin centered around Onsemi."
Meanwhile, Onsemi, headquartered in Arizona, USA, is the world's second-largest power semiconductor company with sales of 7 billion USD last year.
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