1,600 jobs are expected in SG as VisionPower Semiconductor Manufacturing opens S$8.5 billion plant in Singapore

Summary

• VSMC opened its S$8.5 billion semiconductor plant in Tampines on Sep 28, with 1,600 jobs expected as production expands.

• The facility is set to begin volume production in the first quarter of 2027 and to reach 44,000 wafers per month by 2029.

• About 75% of the new positions will be professional, managerial, executive and technician roles, including engineers and data scientists.

SINGAPORE: Singapore has added another major piece to its semiconductor industry with the opening of VisionPower Semiconductor Manufacturing Company (VSMC) first local wafer plant.

VSMC opened the S$8.5 billion facility in Tampines on Sept 28. The plant is expected to create 1,600 jobs as it expands production.

The joint venture between Taiwan’s Vanguard International Semiconductor and Dutch chipmaker NXP Semiconductors took 22 months to build.

Volume production is scheduled to start in the first quarter of 2027. At full capacity by 2029, the plant is expected to make 44,000 silicon wafers each month, Channel NewsAsia (CNA) reported (Sept 28).

VSMC targets chips beyond the AI boom

While much attention has gone to the tiny chips powering artificial intelligence (AI), VSMC is taking a different route.

The Tampines plant will produce 40- to 130-nanometre chips for mixed-signal, power management and interposer uses.

These chips support high-performance computing, mobile devices, cars, industrial equipment and consumer products.

The chip support in those areas gives the facility a role beyond the latest AI processors. Many everyday technologies still depend on these specialised chips, even when they don't make the headlines.

Minister for Trade and Industry (Energy and Industry) Dr Tan See Leng said speciality semiconductors remain important as demand rises through electrification, connected devices and industrial automation.

1,600 jobs will include skilled semiconductor roles

The new jobs could also give Singapore’s workforce another route into the semiconductor sector.

Dr Tan said about 75% of the positions will be professional, managerial, executive and technician roles.

They include engineers, chemists and data scientists working with manufacturing equipment, wafer production and process improvement.

Semiconductors already contribute close to 6% of Singapore’s economy and employ more than 35,000 people.

Singapore also accounts for about one in 10 chips made globally and one-fifth of semiconductor equipment produced each year.

Singapore’s semiconductor bet gets another boost

VSMC chairman Leuh Fang said the investment reflects the company’s confidence in Singapore as a long-term manufacturing partner.

NXP president and CEO Rafael Sotomayor also pointed to the rise of AI in physical settings such as vehicles, robots and factories, where specialised chips will still be needed.

For Singapore, a semiconductor plant creates skilled jobs and builds experience that can support the next generation of local workers, making the 1,600 expected positions just as interesting as the S$8.5 billion price tag.