[News] UMC Teams With Polar to Boost 8-Inch Output, Accelerating U.S. Manufacturing After Intel Partnership

Taiwan’s UMC is pushing into “Made in America.” On the 4th, the company announced that it has signed an MOU with U.S. foundry Polar Semiconductor to explore collaboration opportunities in 8-inch wafer manufacturing in the U.S.. According to Economic Daily News, UMC emphasized that this partnership would allow it to offer customers an 8-inch manufacturing solution in the U.S., following a model similar to its earlier collaboration with Intel. The report adds that details such as investment size have not yet been determined, as the agreement remains at the MOU stage.

Currently, among Taiwan’s foundries, only TSMC has established manufacturing in the U.S., with its facilities located in Arizona. Economic Daily News notes that if UMC ultimately builds capacity in the U.S., both of Taiwan’s foundry giants would have a presence there. The difference, as the report highlights, is that TSMC’s U.S. fabs focus on 12-inch advanced nodes, while UMC is targeting mature-process technologies.

Meanwhile, as Commercial Times notes, this move underscores UMC’s strategy of global expansion through partnerships with U.S.-based foundries. According to the report, amid rising geopolitical risks, securing local U.S. capacity helps reduce supply-chain exposure for customers in aerospace, defense, and other security-sensitive sectors. Compared with TSMC’s fully owned fab model, UMC’s approach offers greater operational flexibility, though the degree of future control will depend on how much each side invests.

As for UMC’s U.S. partner, Economic Daily News notes that Polar—located in Bloomington, Minnesota—is a foundry specializing in high-voltage semiconductors, sensors, and related analog/mixed-signal ICs. According to the report, supported by funding under the CHIPS and Science Act, Polar has secured more than US$100 million for expansion and aims to double its monthly sensor and power-chip capacity from 20,000 wafers to 40,000 within the next one to two years.

UMC Expands Its U.S. Footprint Through Strategic Collaborations

As its press release indicates, Polar and UMC will evaluate which products can be manufactured at Polar’s newly expanded 8-inch fab in Minnesota. The collaboration targets opportunities in automotive, power-grid, robotics, and data-center markets, and aims to combine Polar’s manufacturing strengths with UMC’s comprehensive 8-inch technology portfolio and global customer base.

As highlighted by Commercial Times, this initiative follows UMC’s earlier partnership with Intel on 12nm FinFET, reinforcing its strategy of expanding U.S.-based manufacturing through collaboration. Commercial Times notes that the 12nm project with Intel is reportedly progressing smoothly, with PDKs set for release in January, tape-out scheduled for the first half of 2027, and revenue contributions expected thereafter. Sources cited by the report also indicate that UMC and Intel are already discussing next-generation process options, with Intel 7 and Intel 4 viewed as potential paths for UMC’s next stage of development.

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(Photo credit: UMC)