October 9, 2024 /SemiMedia/ — Thailand is set to establish its first silicon carbide (SiC) chip plant, backed by a joint venture between Hana Microelectronics and PTT Group. The venture, FT1 Corporation, will invest approximately 11.5 billion baht ($350 million) in the project, utilizing technology transferred from a South Korean chipmaker to manufacture 6-inch and 8-inch wafers.

The plant is expected to begin operations in the first quarter of 2027, aimed at meeting the growing demand in the automotive, energy storage, and data center sectors.

On September 20, Narit Therdsteerasukdi, Secretary General of Thailand’s Board of Investment (BOI), led a delegation to inspect the wafer manufacturing project in Lamphun province. He highlighted Thailand’s geopolitical neutrality, competitive cost structure, and potential for future expansion as key advantages.

Narit also emphasized Thailand’s robust infrastructure, reliable electricity supply, renewable energy potential, and skilled labor force. These factors, along with supportive policies from the BOI and the rapid growth of electric vehicles (EV), energy storage systems, and data centers, continue to enhance the country’s investment appeal.

The new SiC plant is expected to play a pivotal role in Thailand’s ambitions to become a hub for EV production. Silicon carbide technology is crucial for electric vehicles, offering higher efficiency in power electronics, reduced energy loss, and the ability to operate under high temperatures and voltages. This helps extend driving range, shorten charging times, and reduce battery size.