STMicroelectronics To Build Italy Chip Plant With Government Aid To Beef Up Its EV Presence - STMicroelectronics (NYSE:STM)

STMicroelectronics N.V. STM will build an integrated Silicon Carbide (SiC) substrate manufacturing facility in Italy.
The facility will support the increasing demand from ST’s customers for SiC devices across automotive and industrial applications as they transition to electrification.
Italy will financially support the investment of €730 million over five years and will create around 700 additional direct jobs at full build-out.
The European Commission approved a €292.5 million ($292 million) grant, Reuters reports.
Production will likely start in 2023, enabling a balanced supply of SiC substrate between internal and merchant supply.
The SiC substrate manufacturing facility, built at ST’s Catania site in Italy alongside the existing SiC device manufacturing facility, will be a first-of-a-kind in Europe to produce a volume of 150 million SiC epitaxial substrates, integrating all steps in the production flow.
ST committed to developing 200 million wafers in the next future.
Samsung Electronics Co, Ltd SSNLF shared plans to expand its advanced chips production capacity by more than 3X by 2027 to meet strong demand.
Samsung targets the commercialization of advanced 2-nm technology chips by 2025 and 1.4-nm chips by 2027, set for high-performance computing and artificial intelligence applications.
Micron Technology, Inc MU looks to invest up to $100 billion over the next 20 years to construct a new mega fab in Clay, New York.
The new factory will increase the domestic supply of leading-edge memory and create nearly 50,000 New York jobs.
Price Action: STM shares traded lower by 0.18% at $34.04 in the premarket on the last check Wednesday.

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