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UK confirms 250m Vishay Newport fab investment

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March 27, 2025

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The UK government has welcomed the £250m investment in silicon carbide (SiC) technology at the Vishay Intertechnology fab in Newport Wales revealed by eeNews Europe yesterday.

The deal will see 110 additional jobs at the fab, which already employs 480 people. Vishay bought the fab after a forced sale by Nexperia.

“This is the start of our plans for growth in the UK. We can see through the development of the Industrial Strategy and the skilled workforce in Newport that there is a real opportunity to play to the UK’s strength in advanced semiconductors,” said Roy Shoshani, COO Semiconductors and CTO for Vishay.

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As predicted by eeNews Europe, the investment by Vishay is supported by the government’s Automotive Transformation Fund (ATF) to help secure domestic supplies of SiC for the UK automotive industry, and other key industries including renewable energy and defence.

“Vishay’s investment will help secure a domestic supply of semiconductors which are vital for our world leading automotive sector and support our clean energy industries – key growth driving sectors identified in our upcoming Industrial Strategy,” said Business and Trade Secretary, Jonathan Reynolds.

“This massive investment by Vishay and the UK Government is a huge boost for Wales’s world-leading semiconductor industry,” said Secretary of State for Wales, Jo Stevens. “Earlier this month I was at Vishay to see the work they do on advanced manufacturing, renewable energy and defence industries – all key sectors in the Welsh economy. This investment will build on that success to create and support hundreds of highly skilled and well-paid jobs.”

“This investment is a fantastic vote of confidence for the quality and resilience of the workforce at the Newport Wafer Fab site, which has been a bedrock of the UK semiconductor industry since 1982,” said Wyn Meredith, director of the Compound Semiconductor Centre in Cardiff.

“Since the launching the Welsh Semiconductor Cluster in 2015, our partners have invested heavily in creating a world-leading research and innovation ecosystem, with a highly skilled talent pipeline to address a semiconductor market opportunity which is set to surpass $1Trillion per annum by 2030.  Global semiconductor players like KLA, Microchip, IQE, Vishay, and recently announced Cadence, have recognised the value of our proposition and have committed in excess of £600M investment to fuel the continued growth of semiconductor manufacturing in South Wales,” he said.

“This significant investment in compound semiconductors is a huge contribution to the innovation and advanced technology necessary to drive the future of UK Automotive. British-made next-generation semiconductors will create jobs, support supply chains and enhance the UK’s strategic capabilities. Digitisation and decarbonisation are at the heart of the transition taking place amongst UK automotive manufacturers, and this investment can support that transition, aided by a comprehensive industrial strategy to deliver the growth the sector and the economy needs,” said Mike Hawes, Chief Executive of the SMMT automotive trade association.

This comes as a trade war looms. The US government is proposing 25% tariffs on all automotive imports, including components.

“[This} announcement by President Trump is not surprising but, nevertheless, disappointing if, as seems likely, additional tariffs are to apply to UK made cars,” said Hawes. “The UK and US auto industries have a long-standing and productive relationship, with US consumers enjoying vehicles built in Britain by some iconic brands, while thousands of UK motorists buy cars made in America.”

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“Rather than imposing additional tariffs, we should explore ways in which opportunities for both British and American manufacturers can be created as part of a mutually beneficial relationship, benefitting consumers and creating jobs and growth across the Atlantic. The industry urges both sides to come together immediately and strike a deal that works for all,” he said.

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