News Highlights
- onsemi and the Czech Ministry of Industry and Trade (MIT) have agreed conclude the project to expand silicon carbide (SiC) production at onsemi's existing Rožnov pod Radhoštěm site, first announced in June 2024
- The change reflects the evolving SiC market and project economics since the original announcement
- Existing manufacturing operations at Rožnov continue unaffected and remain essential part of onsemi's global manufacturing footprint
- onsemi expects to continue investing in and hiring at both its Rožnov and Brno sites to support growth opportunities across automotive, industrial, AI data center and emerging applications
onsemi (Nasdaq: ON) and the Czech Ministry of Industry and Trade today confirmed that they will not proceed with the planned expansion to add end-to-end silicon carbide (SiC) production at onsemi's Rožnov pod Radhoštěm site, first announced in June 2024. The decision is specifically tied to the evolving dynamics of the global SiC market and is not a reflection on the Czech Republic's investment environment, which remains an important part of onsemi's long-term manufacturing and growth strategy.
Existing silicon and SiC manufacturing capabilities at Rožnov are not affected and continue to operate as part of onsemi's global manufacturing network. The site is expected to benefit from continued demand growth in areas such as auto, industrial, AI data centers and emerging applications, and onsemi anticipates ongoing investment and hiring at both its Rožnov and Brno sites. The Czech Republic remains a strategically important manufacturing and development location for onsemi, and this decision does not alter the company's commitment to its operations, employees, or future investment in the region.
“The decision by onsemi not to proceed with the production expansion project in Rožnov reflects the current situation in the global semiconductor market. What is important to us is that the company's existing production in Rožnov will continue unchanged. We value our long-standing cooperation with onsemi, as well as the fact that the company is developing its R&D activities in the Czech Republic alongside its manufacturing operations. I am pleased that the company is planning further investments in both Rožnov and Brno, which we can build on together,” said Karel Havlíček, First Deputy Prime Minister and Minister of Industry and Trade.
Background
In June 2024, onsemi announced plans for a multi-year brownfield investment of up to $2 billion to establish end-to-end SiC production for advanced power semiconductors at its existing Rožnov pod Radhoštěm site.
