Onsemi, a U.S. chipmaker, has announced plans for a significant investment in its production facility located in the Czech Republic. The company is set to invest up to $2 billion over multiple years, marking the largest single foreign investment in the country since the split of Czechoslovakia in 1993.
The investment will be directed towards enhancing the existing production facility in Roznov pod Radhostem, a town in eastern Czech Republic. Currently, onsemi's facility in Roznov produces 10 million chips daily. With the planned investment, production capacity is expected to increase by several hundred percent. This expansion is projected to create an additional 1,300 jobs, bringing the total workforce in Roznov to 3,000.
According to the company, this strategic move aims to strengthen the advanced power semiconductor supply chain for its European and global customer base. The facility will focus on manufacturing intelligent power semiconductors crucial for enhancing energy efficiency in various applications such as electric vehicles, renewable energy, and AI data centers.
Given the significance of the automotive industry in the Czech economy, onsemi's partnership with Germany's Volkswagen, which owns Skoda Auto, holds strategic importance. Skoda Auto is the largest export company in the Czech Republic, further underlining the potential impact of onsemi's investment on the country's industrial landscape.
The Czech government has expressed its willingness to engage in discussions with onsemi regarding potential incentives to support the company's investment plans. This collaborative effort between the private sector and the government underscores the shared commitment to fostering economic growth and technological advancement in the Czech Republic.
