Infineon announced that it will invest 1.6 billion euros (1.9 billion US dollars) to build a new factory in Austria to meet the rising market demand. The new plant is located in Villach in southern Austria, adjacent to the existing factory and is expected to create more than 400 new jobs. The factory will start production of 12-inch wafers in 2021 with a target annual sales of 1.8 billion euros.

Reinhard Ploss, CEO of Infineon, said at an event in Vienna on Friday: “Customers around the world are rushing through our doors to place orders. Growth is underpinned by global megatrends such as climate change, demographic change and increasing digitization. ”

The company is seeking to hire employees from around the world, and the Austrian government has agreed to expand the education and research facilities in Carinthia to help Infineon’s growth plan.