Singapore, 2025 — United Microelectronics Corporation (UMC), Taiwan’s second-largest contract chipmaker, has officially inaugurated its state-of-the-art semiconductor fabrication facility in Singapore’s Pasir Ris Wafer Fab Park. This significant investment, amounting to $5 billion, underscores UMC’s commitment to expanding its global manufacturing footprint and addressing the surging demand for chips in artificial intelligence (AI), automotive, and communication sectors.
Strategic Expansion to Meet Growing Demand
The newly launched facility is equipped with advanced 22nm and 28nm process technologies, positioning it as one of the most sophisticated semiconductor foundries in Singapore. Once fully operational in 2026, the plant is expected to produce up to 30,000 wafers per month, increasing UMC’s total annual production capacity in Singapore by 47% to over one million wafers.
UMC President Shan-Chieh Chien highlighted the strategic importance of this expansion, stating, “This new state-of-the-art facility in Singapore signals a new phase of growth for UMC. It strengthens our capacity to fulfill the growing demand for chips, fueled by ongoing advancements in connectivity, automotive technologies, and artificial intelligence.”
Enhancing Supply Chain Resilience
Singapore’s prime location and well-developed infrastructure position it as a leading hub for semiconductor manufacturing. UMC’s expansion in the region aims to strengthen supply chain resilience for its global clientele. The facility’s proximity to existing operations allows for streamlined processes and efficient resource utilization.
Jermaine Loy, Managing Director of the Singapore Economic Development Board (EDB), emphasized the significance of this development, noting that the new fab introduces advanced specialty semiconductor capabilities and production capacity, thereby enhancing Singapore’s competitiveness as a critical node in the global semiconductor supply chain.
Commitment to Sustainability and Talent Development
In line with global sustainability goals, the new facility has achieved the Green Mark Gold Plus certification from Singapore’s Building and Construction Authority. It features nearly 18,000 square meters of rooftop solar panels, contributing to UMC’s objective of achieving 100% renewable energy usage by 2050.
The expansion is also set to create approximately 700 high-value jobs in Singapore over the next few years, including roles for process and equipment engineers, as well as research and development specialists. UMC plans to deepen its partnerships with local institutions such as the National University of Singapore and Nanyang Technological University to build a robust talent pipeline and foster industry-relevant research.
Strengthening Singapore’s Semiconductor Ecosystem
UMC’s investment is part of a broader trend among semiconductor companies to expand their presence in Singapore. Over the past few years, Singapore has drawn substantial investments from international industry leaders, solidifying its status as a premier hub for advanced manufacturing. The government’s proactive approach and supportive policies have been instrumental in this growth.
Deputy Prime Minister Gan Kim Yong, who attended the opening ceremony, remarked that UMC’s new facility will open up new opportunities for the company and strengthen the semiconductor industry in Singapore. He added that such developments are crucial for supporting innovation, building new capabilities, and uplifting the industry as a whole.
With this significant expansion, UMC not only enhances its manufacturing capabilities but also contributes to the resilience and advancement of the global semiconductor supply chain. The new facility stands as a testament to the company’s commitment to innovation, sustainability, and collaboration.
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