Minister of Industry and Trade Lukáš Vlček recently met with the CEO of onsemi, Hassan El-Khoury, and other members of the company’s management in the United States. The main topic of their meeting was a new project and strategic investment in Rožnov pod Radhoštěm, which is of fundamental importance for the Czech economy. In addition to the ministerial team, the meeting was also attended by the governors of the Zlín and South Moravia Regions.
“We met with the management of onsemi regarding the company’s planned expansion in Czechia, which will strengthen the semiconductor industry and bring an investment with high value added to the Zlín Region. In this sense, the investment is truly strategic and we are thus all the more alarmed by the statements of some opposition politicians who are questioning this investment and misusing it for the purpose of cheap political communication,” says Minister of Industry and Trade Lukáš Vlček, adding: “Strategic projects should not be the subject of political disputes and I am therefore pleased that, together with Zlín Regional Governor Radim Holiš and South Moravia Regional Governor Jan Grolich, we have publicly asserted political consensus regarding the fact that this project is crucial for the Czech economy and has our full support. I am also pleased that the company’s management praised its cooperation with the Czech Republic, as well as the activities of the governors and the regions. The company’s management personally confirmed to me that the project is going smoothly according to plan and that the recently announced layoffs reported in the media are not in anyway connected with the new project, but are rather a consequence of the global cooling of demand in the automotive industry.
In 2024, onsemi received a decision on the pledge of investment incentives in the amount of CZK 567 million for the expansion of its production of silicon-carbide semiconductor wafers with an epitaxial layer in Rožnov pod Radhoštěm. The value of the first phase of the investment is CZK 2.4 billion, while the second, more crucial phase of the project will involve an investment of CZK 43.4 billion.
In September 2024, the company submitted an application for an investment incentive for the second phase of the project. The anticipated state aid should amount to CZK 11.93 billion, i.e. approximately 27% of the total investment.
“The new project is now being considered and evaluated by the European Commission and the exact schedule of the project depends on the date when the Commission makes the result of its assessment known,” added Minister Vlček following the meeting.
Onsemi is a global leader in the area of semiconductor solutions, with focus on energy-efficient chips for the automotive, industrial and energy sectors. In Czechia, the company has operations in Rožnov pod Radhoštěm, where it has already invested in the expansion of its production of silicon-carbide semiconductor wafers. These materials are crucially important for modern high-performance electronics such as those used in electric vehicles and renewable sources of energy. Onsemi is playing a significant role in strengthening Europe’s self-sufficiency in the area of semiconductors.
Source: MPO