San'an and STMicroelectronics' Chongqing 8-Inch SiC Wafer JV Begins Production

Silicon carbide wafers, SiC semiconductor manufacturing, San’an Optoelectronics, STMicroelectronics China, Chongqing SiC fab, 8-inch SiC production, automotive power semiconductors, EV chip manufacturing, China semiconductor industry, next-gen power electronics

February 27, 2025 – San’an Optoelectronics and STMicroelectronics have officially commenced production at their joint 8-inch silicon carbide (SiC) wafer fabrication plant in Chongqing, marking a significant milestone for China's automotive, industrial power, and energy semiconductor sectors.

A Major Milestone in China's SiC Industry

Key Developments:

The joint venture, San’an STMicroelectronics Semiconductor Co., Ltd. , is advancing towards full local 8-inch SiC wafer production in China by the end of 2025.

The Chongqing High-Tech Industrial Development Zone hosts the facility, featuring both chip fabrication and substrate production.

Total investment: RMB 23 billion ($3.2 billion)

Expected mass production: Q4 2025

Strategic Benefits:

First large-scale 8-inch automotive-grade SiC wafer fab in China

Integrated SiC production (substrates, epitaxy, and chip manufacturing in one facility)

Enhanced supply chain security for China's booming EV and renewable energy markets

SiC Demand and Market Impact

SiC semiconductors are rapidly gaining traction due to their higher efficiency, lower energy loss, and superior thermal performance compared to traditional silicon-based chips. China's growing EV sector, along with increasing demand for industrial power and renewable energy solutions, is driving SiC adoption.

According to industry analysts, global SiC semiconductor demand is expected to grow at a CAGR of 30% from 2024 to 2030, with China emerging as a key player. The successful ramp-up of San’an and STMicroelectronics’ SiC fab will help reduce reliance on imports and strengthen China’s domestic semiconductor industry.

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