Infineon Expands Backend Chip Capacity with $114m Thai Facility

German semiconductor maker opens Bangkok assembly and testing plant to boost regional supply chain resilience.

German chipmaker Infineon Technologies has opened a new backend manufacturing facility near Bangkok, investing over €100 million ($113.57 million) to support growing semiconductor demand across Asia. The expansion provides an initial 30,000 square metres of cleanroom space dedicated to chip packaging, assembly, and testing, with capacity expandable to 150,000 square metres. Infineon Chief Operations Officer Alexander Gorski highlighted the strategic intent behind the site, noting: “It’s a strategic long-term investment. We are well prepared for strong future growth.”

The investment strengthens Thailand’s broader strategy to position itself as a key regional semiconductor hub alongside established manufacturing bases like Malaysia. Thai authorities are targeting $18 billion in semiconductor investments by 2030, focussing on photonics, power electronics, and sensors. Backed by government programmes to train 85,000 skilled workers and 1,700 researchers by the end of the decade, Thailand attracted 910 billion baht ($27.12 billion) in advanced electronics and semiconductor commitments between 2023 and mid-2026.

For Infineon, the plant enhances operational flexibility across its 13 global manufacturing sites while offering proximity to major Asian markets. The facility establishes crucial dual-sourcing options to insulate supply chains from regional disruptions, with Gorski adding: “If something is going wrong in the factory in Malaysia, we can support our customers through the factory in Thailand.”

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Jaydeep Gadhavi
Jaydeep Gadhavi
Jaydeep Gadhavi is a journalist with EFY business focusing on EV as well as Semiconductor business news.

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