STMicroelectronics (ST) has announced plans to build a Silicon Carbide (SiC) substrate production facility in Italy.

This facility will help the firm cater to the growing demand from its customers for SiC devices across automotive and industrial applications due to transition to electrification and high efficiency requirements.

Production at the facility is anticipated to begin next year.

The facility is expected to allow a balanced distribution of SiC substrate between internal and merchant supply.

It will be built at STMicroelectronics’ Catania site, where the current SiC device manufacturing facility is located.

The facility will become the first of its type in Europe to produce 150mm SiC epitaxial substrates.

The company plans to develop 200mm wafers in the future.

This project is seen as a significant step in pushing ST’s vertical integration strategy for its SiC business.

The investment of €730m over a five-year period will receive the support from the State of Italy under the framework of the National Recovery and Resilience Plan.

The project will generate approximately 700 direct additional jobs at full build-out.

STMicroelectronics president and chief executive officer Jean-Marc Chery said: “ST is transforming its global manufacturing operations, with additional capacity in 300mm manufacturing and a strong focus on wide bandgap semiconductors to support its $20+B revenue ambition.

“We are expanding our operations in Catania, the center of our power semiconductor expertise and where we already have integrated research, development and manufacturing of SiC with strong collaboration with Italian research entities, universities and suppliers.”

The latest move is seen as a significant milestone on the company’s path towards achieving 40% internal substrate sourcing by 2024.
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Image: Production at the facility is anticipated to begin next year. Credit: Marcin from Pixabay .