Danfoss Silicon Power of Flensburg, Germany is establishing production in the USA and entering into a collaboration to manufacture silicon carbide (SiC) power modules using SiC chips provided by General Electric (GE).
Danfoss Silicon Power is part of the Danfoss Group, which has more than 25,000 staff globally. As a manufacturer of power modules for the industrial, renewable energy and automotive sectors, it has provided modules for more than 25 million, mainly European cars.
Danfoss says that the SiC power modules will create smaller, faster and more effective electronic devices, and are expected to advance the technology within solar and wind energy as well as the future generations of electric and hybrid cars.
The transatlantic collaboration between Danfoss and GE will be part of New York Power Electronics Manufacturing Consortium (NY-PEMC) in Utica, upstate New York. The private-public consortium and other similar programs were established in 2014 by the state of New York with a total investment of more than $20bn for the creation of high-tech jobs.
By early 2018, Danfoss Silicon Power will establish SiC power module packaging operations in Utica, and is expected to create hundreds of jobs in the coming years.
The news was announced by Andrew M. Cuomo, governor of New York State, which is financing all startup costs as well as production facilities. Danfoss will lease both the facility and equipment from New York State and occupy the entire facility in Utica, which includes two cleanrooms, labs, offices and logistics space.
“The US is our biggest market and essential to our business,” says Danfoss’ executive VP & chief operating officer Kim Fausing. “The cooperation with GE has great strategic impact for Danfoss – it is important for our future growth plans in the US, and we have big expectations for the further developments in this highly specialized area,” he adds.
“Danfoss Silicon Power is gaining a unique position as the only independent SiC module manufacturer in the US, and GE has been a customer from day one,” says Claus A. Petersen, general manager & VP of Danfoss Silicon Power. “Similarly, it has opened the door to the US market, where demand for the power modules manufactured by Danfoss Silicon Power is expected to grow explosively.”