US chip giant GlobalFoundries opens $4 bn Singapore plant

The world's third-largest contract chipmaker GlobalFoundries opened a 4 billion USD manufacturing plant in Singapore on Tuesday as part of a global expansion to help ease an industry supply crunch.

The firm's 23,000-square metre Singapore facility, which broke ground in 2021, will boost the global footprint of the company, which already has plants in the United States and Europe. The chips, usually used in smartphones and other mobile devices, are also increasingly in demand by automakers, especially for electric vehicles, adding to the pressure to raise production.

Singapore's chip output currently makes up 11 percent of the global semiconductor market. The facility will produce an additional 450,000 wafers annually at full capacity by 2025 to 2026, the US Company’s Singapore general manager said, raising the city-state's overall capacity to 1.5 million wafers each year.