Infineon Expands in Asia - New Production Plant for Automotive and Industrial Power Technologies in Malaysia
This new fab is an important step in continuing our successful business with chips for automotive and industrial power applications. With this move, we are systematically expanding our presence in the future market of Asia, commented Dr. Wolfgang Ziebart, President and CEO of Infineon Technolgies. Our continuous investment in Asia also reduces our market risk concerning fluctuations of the US dollar-to-euro exchange rate.
The new plant complements Infineons already existing production sites for non-memory products in Munich-Perlach, Regensburg, Villach, and Dresden as well as Altis Semiconductors, a joint venture with IBM in Essonnes, France.
Due to strong penetration of electronics in vehicles as well as the ongoing substitution of semiconductor solutions for mechanical components, the worldwide automotive semiconductor market is expected to experience substantial growth of about ten percent over the next few years. More demanding requirements with respect to reliability, security, and weight as well as emission control and power reduction of cars, will also fuel growth.
According to the market research company Strategy Analytics (May 2004), the automotive semiconductor market amounted for about US-Dollar 13.3 billion in calendar year 2003 growing by 14.1 percent from 11.5 billion in 2002. Infineon is Europes number one manufacturer of automotive semiconductors with an overall sales market share of 15.0 percent. Worldwide the company ranks as number two with an overall sales market share of 8.7 percent in the year 2003, thus growing by 21.2 percent year on year.