Infineon Urges Europe to Build Automated 300mm Fabs to Counter China’s Chip Gains
Infineon VP urged Europe to build larger automated 300mm wafer fabs to counter Chinese power and analog chip gains driven by export restrictions on ASML EUV lithography. He noted the EU’s Chips Act aims to raise Europe’s global chip production share from 10% to 20% by 2030.
1. Infineon Call for Automated 300mm Fabs
Thomas Altenmueller, Infineon’s VP of Manufacturing Analytics, told industry executives that Europe must invest in larger, highly automated 300mm wafer fabs to increase economies of scale and offset higher labor costs. He emphasized that modernizing and expanding existing fabs is essential to maintain competitiveness in power and analog chips.
2. Rising Chinese Capacity in Power and Analog Chips
Chinese manufacturers have rapidly expanded capacity in power delivery and analog semiconductors, industries once dominated by European firms. This shift has been accelerated by China’s focus on segments not restricted by advanced tool export controls.
3. Effects of Export Restrictions on ASML Equipment
Export curbs on advanced semiconductor equipment, notably ASML’s EUV lithography machines, have driven Chinese firms to target power and analog chip segments. These restrictions are prompting Europe to accelerate automation and consolidation of its existing fabrication sites.
4. EU Chips Act Targets and ASML Implications
The EU’s first Chips Act aims to increase Europe’s global chip production share from 10% to 20% by 2030, with a refreshed Act 2.0 in development. Meeting these targets will require significant tool orders from suppliers like ASML and strategic upgrades to Europe’s existing fab infrastructure.