Onsemi Receives EU Greenlight for €450M Semiconductor Grant

Onsemi (ON) has been approved by the European Commission to receive a €450M ($518M) grant from the Czech Republic. The funding will support construction of a cutting-edge silicon carbide (SiC) power device manufacturing plant.

€1.64B SiC Facility to Strengthen Europe’s Chip Ecosystem

The grant will help fund Onsemi’s €1.64B ($1.89B) integrated manufacturing plant in Rožnov pod Radhoštěm, Czech Republic.
Key details:

Will produce 200mm SiC power devices
Used in EVs, fast chargers, renewable energy systems, and industrial power applications
Target operational date: 2027
Labeled as a “first-of-its-kind facility” in the European Union

Aligned With the European Chips Act

The European Commission approved the grant after determining the project supports:

Goals of the European Chips Act
The 2024–2029 EC Political Guidelines
Europe’s push for greater chip manufacturing resilience
Minimal disruption to competition or trade within the EU

The Commission also confirmed Onsemi applied for the plant to be recognized as an Integrated Production Facility under EU Chips Act regulations.

EC Leadership on Supply Chain Resilience

Teresa Ribera, executive vice-president of the European Commission, stated:

The project will boost manufacturing resilience
It will reduce Europe’s semiconductor dependency
Onsemi will meet all obligations linked to its new Chips Act status

Growing Competition in Silicon Carbide Chips

Onsemi joins other major SiC semiconductor players expanding globally, including:

Wolfspeed (WOLF)
Microchip Technology (MCHP)
STMicroelectronics (STM)
Infineon (IFNNY)