United Microelectronics Corporation (UMC), a global semiconductor foundry, has officially unveiled its new fab facility in Singapore in a grand opening ceremony.

The firm said in a statement on Tuesday that the first phase of the new facility will start volume production in 2026, bringing UMC’s total production capacity in Singapore to more than 1 million wafers annually.

It will also be one of the most advanced semiconductor foundries in Singapore, manufacturing semiconductors to enable communications, Internet of Things (IoT), automotive, and artificial intelligence (AI) innovations.

The facility, a greenfield expansion adjacent to UMC’s existing fab in the Pasir Ris Wafer Fab Park, spans two phases.

Up to $5 billion will be invested to bring the first phase to full capacity of 30,000 wafers per month, with room for further investment in a second phase expansion in the future.

The new facility is equipped for manufacturing with UMC’s industry-leading 22nm and 28nm solutions – the most advanced foundry processes currently in Singapore’s semiconductor sector – for global customers’ products including premium smartphone display chips, power-efficient memory chips for internet of thing (IoT) devices, and next-generation connectivity chips.

The expansion is expected to create approximately 700 jobs locally over the next few years, including process and equipment engineers as well as research and development engineers.

“This new state-of-the-art facility in Singapore signals a new phase of growth for UMC,

“It enhances our ability to meet future chip demand, driven by continuous innovations in connectivity, automotive, and AI,” said SC Chien, President of UMC.

“The unique geography of Singapore also makes the new facility well placed to support our customers in strengthening supply chain resilience,

“This fab expansion closely aligns with the Singapore government’s vision to become a leading advanced manufacturing hub, and we are deeply grateful for their support,” he added.

Meanwhile, Jermaine Loy, Managing Director of the Singapore Economic Development Board, said that this new fab introduces new leading edge specialty semiconductor capabilities and production capacity that will enhance Singapore’s competitiveness as a critical node in the global semiconductor supply chain.

“This significant investment underscores our long-standing partnership with UMC, and we look forward to deepening our collaboration to strengthen Singapore’s semiconductor ecosystem,” he added.

The new facility was built according to rigorous sustainability standards, and has obtained the Green Mark GoldPlus certification from Singapore’s Building and Construction Authority.

A standard part of all UMC’s new fab designs to align with UMC’s goal to be 100 percent powered by renewable energy by 2050, the new facility will be installed with 17,949 square meters of solar panels on its rooftop.

In addition to the manufacturing site, the expansion also includes a brand-new office building, a full- sized multipurpose sports hall, and other amenities for employees and community members.

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