[News] Onsemi to Receive €450M Government Grant for Advanced SiC Power Device Fab in Czech Republic

On November 21, the European Commission officially approved a state aid measure for the Czech Republic, authorizing a direct grant of approximately Euro 450 million to onsemi, specifically supporting the company’s next-generation silicon carbide (SiC) power device integrated manufacturing facility with an investment of Euro 1.64 billion. The approval marks a milestone for Europe, establishing the continent’s first 8-inch SiC wafer fab covering the full SiC value chain, with significant implications for the European automotive and industrial supply chains.

The new facility, located in Rožnov pod Radhoštěm, Czech Republic, will be Europe’s first 8-inch production line with complete SiC manufacturing. Unlike a standard packaging operation, the plant will span the entire vertical integration process—from front-end SiC crystal growth to mid-end 8-inch wafer processing, and finally, to power device fabrication. This integrated approach will allow omsemi to better control the supply chain, ensure product quality, and lay the groundwork for large-scale SiC production and cost optimization. Commercial operation is expected to begin in 2027.

This major investment represents a pivotal step in onsemi’s global SiC strategy. The company has positioned SiC technology as a core growth engine, with a particular focus on electric vehicle (EV) and industrial energy markets.

It’s said that onsemi can directly serve the rapidly growing automotive and industrial customer base in Europe through expanding 8-inch SiC capacity in the Czech Republic. The transition from 6-inch to 8-inch (200mm) wafer is also critical for achieving economies of scale and lowering manufacturing costs. Industry experts note that the Czech facility, as onsemi’s flagship 8-inch site, is expected to deliver long-term cost competitiveness and increased market share.

At the meantime, onsemi is accelerating its SiC roadmap and partnerships. In 3Q25, the company launched a new generation of SiC MOSFET products, particularly targeting 750V–1200V EV applications, offering superior switching performance and higher power density to strengthen its leadership in automotive applications. The company also highlighted advances in SiC crystal growth technology, claiming improvements in wafer quality and yield—a key enabler of its vertical integration strategy.

Following the Czech investment announcement, onsemi has continued to deepen automotive collaborations in 2H25, reinforcing long-term supply agreements (LTAs) with top global automakers and Tier 1 suppliers. Supply chain consolidation is also picking up steam. In addition to the Czech site, omsemi continues to optimize production efficiency across its global SiC facilities in 2025.

(Photo credit: Onsemi)