Thailand Approves First Semiconductor Strategy, Targets $80 Billion Investment

Thailand has adopted its inaugural national strategy for semiconductors and advanced electronics, aiming to cultivate a comprehensive domestic chip ecosystem. The plan, approved on September 24, encompasses research and design, manufacturing, assembly, packaging, testing, and high-value electronics applications.

The Thailand Board of Investment (BOI) stated the strategy's objective is to attract approximately $80 billion in cumulative investment by 2050. It also targets generating annual industry revenue of about $150 billion and creating over 230,000 jobs.

Priority technologies identified within the strategy include photonics, power semiconductors, and sensors. The BOI reported receiving 879 investment-promotion applications, valued at roughly $27.2 billion, for semiconductor and advanced electronics projects between 2023 and the first half of 2026.

German chipmaker Infineon Technologies, specializing in power semiconductors and automotive chips, is set to open its first facility in Thailand, located in Samut Prakan, on October 1. This plant will focus on the production and packaging of advanced power modules. The strategy will be supported by incentives, workforce development, and infrastructure enhancements.