Microchip Technology to invest $60M in Thailand expansion

Microchip Technology, a leading American semiconductor company, has announced a significant $60 million expansion of its chip assembly and testing operations in Thailand. This move aims to meet the rapidly growing global demand for semiconductors and further strengthens Thailand’s role as a key regional hub in the semiconductor industry.

The investment was approved by Thailand’s Board of Investment (BOI) and brings Microchip’s total investment in the country to over $1.1 billion across 12 promoted projects, reflecting the company’s confidence in Thailand’s skilled workforce and stable business environment. Microchip’s facilities in Chachoengsao Province currently employ more than 4,500 people, including 440 engineers, and represent the company’s largest global assembly and testing base. The expansion will enhance advanced wafer testing, IC packaging, and testing capabilities to support what officials describe as “explosive growth” in the semiconductor market.

Thailand has become an increasingly attractive destination for semiconductor manufacturing amid ongoing global geopolitical tensions, especially between the U.S. and China, with the government targeting significant new investments and workforce development in the sector. This expansion by Microchip Technology is a crucial part of Thailand’s growing semiconductor ecosystem, alongside other major international companies investing in the country.

This strategic $60 million investment highlights Microchip’s commitment to maintaining a leading edge in semiconductor production and underscores Thailand’s rising importance in the global supply chain for advanced electronic components. The expanded facilities will bolster supply chain resilience and support the increasing market demand for semiconductor products worldwide.