Infineon backend manufacturing site sale strengthens OSAT strategy in Thailand

On February 4, Infineon Technologies completed the Infineon backend manufacturing site sale of its facility in Bangkok/Nonthaburi, Thailand, to Malaysian Pacific Industries Berhad. The site, which previously supported backend semiconductor operations, will continue serving Infineon under a newly secured long-term supply agreement with the buyer.

Transaction details and operational transition

As part of the Infineon backend manufacturing site sale, Malaysian Pacific Industries Berhad will take over full operations of the Thailand facility. The transition includes the transfer of all production-related employees, ensuring operational stability and continuity. Employees are expected to benefit from a strong long-term outlook under the new ownership structure.

Role of MPI and OSAT capabilities

MPI is an investment holding company headquartered in Malaysia. Through its subsidiaries operating under the Carsem name, MPI delivers outsourced semiconductor assembly, packaging, and testing services. These OSAT capabilities are closely aligned with Infineon’s backend manufacturing requirements and quality standards, supporting ongoing production needs.

Strategic fit with Infineon Thailand operations

The Infineon backend manufacturing site sale does not signal a reduction in Infineon’s regional presence. Infineon remains fully committed to Thailand as a key manufacturing hub. In January 2025, the company began construction of a new backend fab in Samut Prakan, south of Bangkok, strengthening its long-term industrial footprint. These parallel moves are designed to complement each other. By combining inhouse manufacturing expansion with reliable OSAT partnerships, Infineon aims to optimize capacity, improve supply chain resilience, and align its global manufacturing network with long-term strategic objectives in the semiconductor market.