Microchip announced an investment of $800 million in Oregon to expand production, tripling capacity

Source: Smart Core

    On March 14th, microchip, a major chip manufacturer, announced that it would invest $800 million in expanding production at its plant in Gresham, Oregon, USA. Its plan to triple production capacity has reached the expected milestone. As an important process of large-scale manpower expansion and capital equipment investment, these achievements are aimed at responding to the growing semiconductor demand of various industries, prompting Microchip to significantly increase its overall production capacity in the United States.

    It is reported that in 2002, Microchip spent $184 million to purchase a wafer factory located in Gresham, about half of which had not been developed before. Last year, there were rumors that Microchip was considering expanding production in Gresham, Oregon, to build a second wafer factory.

    Microchip currently has more than 900 employees in its Gresham campus, with an additional 300 contracted personnel working on-site. The jobs offered range from production specialists to technical related positions in equipment and process, facilities, and management. Steve Drehobl, Senior Vice President of Microchip‘s 8bit and 16bit Product Division, said that Microchip established the Gresham factory more than 20 years ago, and it remains our largest and most advanced owned production facility. It is also a key element in the long-term business strategy of Microchip‘s microcontrollers and analog products. This $800 million expansion plan will enable Microchip to provide better service to customers worldwide.

    Ganesh Moorthy, President and CEO of Microchip, expressed his gratitude to the Microchip Gresham team for their investment and efforts in this expansion, and thanked Oregon and its elected officials for their support in approving investment incentives to achieve this achievement. Our steady growth fully demonstrates the criticality of the semiconductor industry and the importance of the CHIPS and Science Act in providing subsidies to U.S. companies to maintain fair global competition.

    Microchip stated that through collaboration with the Oregon Economic Development Authority, Gresham, and Multnomah, Microchip has been approved to receive approximately $42.4 million in state and local expansion awards.

    Senator Ron Wyden said that for Gresham, this good news has opened a new chapter in Oregon‘s semiconductor industry. The new federal Chip and Science Act has created good news for the region in the form of high paying jobs and economic investment. "I am honored to be able to incorporate this semiconductor bill into law last year, and will continue to promote it in all aspects to ensure that Oregon residents and semiconductor companies that employ them benefit from this landmark legislation.".

    The governor of Oregon, Tina Kote k, said that Oregon is the center of excellence for the semiconductor manufacturing industry in the United States. Microchip‘s focus on economic development has led to increased investment in Gresham. This is a common victory for cities, states, and countries. It will bring high-paying jobs to the community, not only allowing Oregon to maintain its leading position in chip production in the country, but also strengthening China‘s manufacturing industry, supply chain, and national security.

    To date, Microchip has added 300 new employees to its Gresham factory and plans to recruit up to 300 more employees in the coming years. In addition, substantial progress has been made in the expansion and upgrading of its 140 acre, 830000 square foot Gresham campus, which will produce more microcontroller, simulation, and security products. As part of its investment, Microchip has also added two clean rooms and more than 160 new manufacturing equipment to its 8-inch wafer factory.

    Rep. Earl Blumenauer said that Microchip continued to focus on manufacturing traditional chips - small, ubiquitous microcontrollers and analog products - and applied to almost all types of electronic devices such as automobiles and electric bicycles, household appliances, and industrial motors. The growth of these products is crucial for increasing local jobs in Oregon, increasing household income, and strengthening the local supply chain in the United States.

    Travis Stovall, Mayor of Graysham City, pointed out, "This expansion is a great achievement for Graysham City, which will provide large-scale employment opportunities and contribute to the prosperity of our city‘s economy. We are very grateful for this opportunity to cooperate with Microchip Technology, and we are also grateful for the full support of Oregon lawmakers in promoting this important work."