EU Approves €920 Million Subsidy for Infineon Chip Factory in Dresden

The funding will support a €5 billion project aimed at bolstering Europe's semiconductor production and technological autonomy.

The European Commission has approved Germany's €920 million subsidy to support Infineon's new chip manufacturing facility in Dresden.
The project is part of a €5 billion investment by Infineon, marking the largest in the company's history, with the factory set to open in 2026.
The facility will enhance Europe's semiconductor production capacity, strengthening supply chain resilience and reducing reliance on Asian markets.
The new factory will focus on producing semiconductors for applications in the automotive industry and renewable energy sectors, supporting decarbonization and digitalization efforts.
This initiative aligns with the EU's broader goal of increasing domestic chip production under the EU Chips Act to secure technological independence.