Asia Express
Thailand to Establish First Silicon Chip Fab, Bolstering Semiconductor Ambitions
September 27, 2024

The Thailand Board of Investment (BOI) has announced a joint venture between Hana Microelectronics and energy giant PTT to establish the country’s first silicon carbide (SiC) chip fab. According to a Nation Thailand report on September 24, this initiative positions Thailand to emerge as a key player in the global semiconductor sector. With an initial investment of 11.5 billion baht (approximately USD 320 million), the fab is expected to begin operations in 2027, producing high-performance chips for electric vehicles (EVs), data centers, and energy storage systems. The fab will specialize in manufacturing 6-inch and 8-inch SiC wafers, critical components in power electronics.

Taiwan's TSMC, the world’s largest semiconductor fab, continues to position Taiwan as a major powerhouse in the industry. The shipment value of Taiwan's semiconductor sector is projected to reach NT$4.76 trillion (USD 150.7 billion) in 2024, a year-on-year growth of 21.3%, according to the Taipei-based Market Intelligence & Consulting Institute (MIC). This growth is driven largely by the recovery of mainstream ICT products. MIC forecasts growth in specific sectors: foundries (28%), IC design (15%), memory IC/Integrated Device Manufacturing (IDM) (18%), and IC packaging and testing (6%).