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Infineon begins the concluding stage of constructing its factory expansion.

Europe's largest chip factory construction hits a milestone as Infineon secures final building permit for the "Smart Power Fab" construction.

Construction workers stand on the site of Infineon's Smart Power Fab.
Construction workers stand on the site of Infineon's Smart Power Fab.

Semiconductor plant - Infineon begins the concluding stage of constructing its factory expansion.

Infineon's chip factory expansion in Dresden's northern region is now entering its final stage of construction. The construction pit, 180 Olympic swimming pool-sized, has been excavated after 90 applications. Fence lizards living on the site have also been relocated. Minister President Michael Kretschmer presented the last required building permit, recognizing the importance of such factories in microelectronics for creating value, jobs, and innovation in Europe.

Rutger Wijburg, a member of Infineon's board of directors, explained their choice to invest in Saxony, which is known as "Silicon Saxony" due to its thriving semiconductor industry. Saxony boasts a hardworking population, although they sometimes voice complaints. Infineon aims to create 1000 new jobs and is optimistic about attracting skilled workers who value working in a beautiful region.

Infineon plans to spend a total of 5 billion euros on the factory expansion and projects a future annual turnover potential of the same amount. The groundbreaking ceremony happened 1.5 years ago, attended by Federal Chancellor Olaf Scholz. Excavation is now complete, and the time and financial deadlines have been met. Managing Director of Infineon in Dresden, Raik Brettschneider, said construction can commence with the acquisition of the last permit. The lower floors will initially house energy, water, chemical, and gas treatment, followed by the construction of the "clean room" on the fourth floor.

450,000 cubic meters of earth were excavated on the site, equating to 180 Olympic swimming pools' volume. The pit is 22 meters deep and supports a 190 cm thick concrete slab to reduce vibrations from passing streetcars that could disrupt production. Kretschmer appreciated the ambitious project, stating it was the result of cooperation among economy, science, and politics.

The factory opening is slated for 2026, and Infineon aims to establish the largest chip factory in Europe in Dresden. The new building will produce semiconductors driving decarbonization and digitalization used in the automotive industry and renewable energy sectors.

Following is the structure of this text:

  1. Introduction to the final phase of Infineon's chip factory expansion in Dresden
  2. European goal of a 20% shared market in microelectronics and importance of companies like Infineon
  3. Investment rationale: Saxony as the heart of European semiconductor industry
  4. Explanation of job creation with 1000+ new positions
  5. 4500,000 cubic meters of earth excavated
  6. Budget and timeline for construction completion
  7. Construction details: lower floors with utility systems and clean room on the fourth floor
  8. Conclusion: Factory's location has a beneficial effect on the European market
  9. Future factory start in 2026 and potential for world's largest semiconductor factory

Saxony, the heart of Europe's semiconductor industry, makes it an ideal location for Infineon's chip factory expansion, creating 1000 new jobs and one of the largest firm foundations in Germany. This large-scale project reflects the shared efforts of the economy, science, and politics in Europe. Infineon is investing 5 billion euros in the factory with a potential future annual revenue of the same amount. The construction phase begins now, with the lower floors housing utilities and the clean room on the fourth floor. European goals will be met with factories like these, driving growth and innovation in microelectronics.

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