Poland announces massive new Intel plant in ‘Lower Silesian Silicon Valley’

US firm Intel plans to build a semiconductor production and testing plant at Miekinia, near Wroclaw, western Poland, Polish Prime Minister Mateusz Morawiecki said on Friday, 16 June.

The factory, to be located in the “Legnica Special Economic Zone”, is expected to cost USD 4.6bn, and employ around 2,000 people. Assuming all goes as planned, the Intel centre is expected to be operational by 2027. 

The upcoming factory will establish a collaborative partnership with an existing silicon wafer production plant in Leixlip, west of Dublin, Eire, as well as a plant now under construction in Magdeburg, central Germany.

The manufactured wafers will be transported to integration and testing plants located in Lower Silesia to undergo cutting processes to create individual chips to be integrated into products. Subsequently, testing will be conducted before final deliveries to customers are made.

Intel wants more resilient production chains

Intel president Patrick Paul Gelsinger noted that “Poland is already home to Intel operations and is well positioned to work with Intel sites in Germany and Ireland. It is also very cost-competitive with other manufacturing locations globally and offers a great talent base that we are excited to help to grow.

“We’re grateful for the support from Poland as we work to grow the local semiconductor ecosystem and contribute to the EU’s goal of creating a more resilient and sustainable semiconductor supply chain,” Gelsinger said.

“We need to have more production sites. We want to have more resilient production chains, in line with European Union policy. The construction will take a long time, it is one of the most difficult investments in the world – but it is worth it, because it will be a magnet for contractors.

“We are grateful to Poland for supporting our work related to the development of the local semiconductor ecosystem and contribution to the EU’s goal of creating a more resilient and sustainable semiconductor supply chain,” Gelsinger added.

Polish PM says new approach to supply chains required

Intel is the world’s largest manufacturer of integrated circuits and microprocessors, and the project will be the largest greenfield investment in Poland, Morawiecki underlined, adding that “these will be the most modern technologies in the world”. 

Morawiecki said the proximity of the academic centre has given Wroclaw an advantage. “This is indeed a great moment for Poland and an element of the strategy of one of the most important companies in the world,” he said. 

“The COVID:19 pandemic and geopolitical changes, including the war in Ukraine, show how important it is to rebuild supply chains. We are happy with the transatlantic cooperation, I talk to many investors, but I cared about few investments as much as I did about this one.”

Digital minister proclaims ‘Lower Silesian Silicon Valley‘

Minister of Digitisation Janusz Cieszynski said Intel’s investment will be the largest foreign investment in Poland, which will give rise to the “Lower Silesian Silicon Valley”.

“The factory will make a significant contribution to ensuring a reliable supply of semiconductors to the European industry, but will also support the development of modern technology in Poland,” he said.

“The fight for investments of this calibre takes place between dozens of locations around the world. Intel’s decision shows that there is no place better than Lower Silesia,” Cieszynski added.