Thailand is set to make a significant stride in the semiconductor industry with the establishment of its first silicon carbide (SiC) wafer factory, which is expected to begin operation in 2027.
According to The Nation, The Star, and Vietnam Plus, the Thailand Board of Investment announced its support of FT1 Corporation, a joint venture formed by Hana Microelectronics and PTT Group, to invest THB11.5 billion (US$350 million) in building Thailand's first SiC facility, which will build 6-inch and 8-inch wafers using technology transferred from a South Korean chipmaker.
The factory is expected to begin production in the first quarter of 2027, catering to the growing demands of the automotive, data center, and energy storage markets.
Narit Therdsteerasukdi, secretary general of the Board of Investment, led a delegation to Lamphun Province on September 20 to inspect the progress of a significant wafer fabrication investment project. He emphasized the country's neutral geopolitical stance, competitive costs, and potential for future production expansion.
Additionally, Therdsteerasukdi praised Thailand's infrastructure, stable electricity supply, clean energy potential, and skilled workforce. The BOI's supportive policies and the rapid growth of the electric vehicle, energy storage system, and data center industries further solidified Thailand's appeal as an investment destination.
The SiC chipmaking facility can significantly bolster Thailand's ambition to build an EV hub. SiC is essential for EVs, as its power electronics components provide higher efficiency, lower energy losses, and the capability to operate at elevated temperatures and voltages. This results in enhanced driving range, quicker charging times, and reduced battery sizes.
In recent years, Thailand has been actively promoting EV adoption and aims to create a local EV supply chain. The Thai government has implemented various incentives to attract foreign automakers, especially from China, to establish manufacturing facilities in the country.
