Taiwanese electronics manufacturer Foxconn has entered preliminary discussions with French defense group Thales and connector maker Radiall to establish a semiconductor assembly and test facility in France.
The proposed plant would focus on outsourced semiconductor assembly and test operations, targeting annual production capacity of over 100 million system-in-package units by 2031. Total investment would exceed €250 million ($272 million), according to Thales, with the initiative expected to attract additional European industrial partners.
This marks Foxconn’s latest move to expand its semiconductor presence after evaluating European semiconductor packaging opportunities since late 2024. For Europe, the project represents a significant step toward semiconductor self-sufficiency, addressing a critical gap in the region’s chip manufacturing capabilities.
The facility aims to serve European aerospace, automotive, telecom and defense markets – sectors increasingly reliant on advanced packaging technologies as traditional chip design approaches reach physical and economic limits. System-in-package technology allows integration of multiple specialized chips into single units, crucial for next-generation electronic systems.
While specific locations within France and timelines for final investment decisions weren’t disclosed, the project aligns with broader European Union semiconductor initiatives targeting increased technological sovereignty and reduced dependence on Asian manufacturing.
