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Kia Corporation and Infineon sign multi-year supply agreement for power semiconductors

Semiconductor For You by Semiconductor For You
October 18, 2023
in Semiconductor News
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Munich, Germany – 18 October 2023 – Infineon Technologies AG (FSE: IFX / OTCQX: IFNNY) and Hyundai Motor Company and Kia Corporation have signed a multi-year supply agreement for silicon carbide (SiC) and silicon (Si) power semiconductors. Infineon will build and reserve manufacturing capacity to supply SiC as well as Si power modules and chips to Hyundai/Kia until 2030. Hyundai/Kia will support the capacity build-up and capacity reservation with financial contributions.

“Infineon stands as a valued strategic partner, boasting steadfast production capabilities and distinct technological prowess within the power semiconductor market,” said Heung Soo Kim, Executive Vice President and Head of Global Strategy Office (GSO) at Hyundai Motor Group. “This partnership not only empowers Hyundai Motor and Kia to stabilize its semiconductor supply but also positions us to solidify our leadership in the global EV market, underpinned by our competitive product lineups.”

“The future car will be clean, safe and smart and semiconductors are at the heart of this transformation. As a trusted partner, we are proud to advance our long-term partnership with Hyundai/Kia,” said Peter Schiefer, President of Infineon’s Automotive Division. “We contribute premium products of high quality, our system knowledge and application understanding combined with continued investments in manufacturing capacity to address the increasing demand for automotive power electronics.”

Infineon’s power semiconductors are key enablers for the transition to electromobility. This transition will lead to strong market growth for power semiconductors, especially those based on wide bandgap materials like SiC. With the significant expansion of its Kulim fab, Infineon will build the world’s largest 200-millimeter SiC power fab and further strengthen its market-leading role as a high-quality, high-volume supplier to the automotive industry. In line with Infineon’s multi-site strategy, the Kulim facility will complement Infineon’s current manufacturing capacity in Villach, Austria, and further capacity expansions in Dresden, Germany.

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