Vishay to expand Itzehoe chip plant with 215 million euros in aid

Investment and funding

Vishay, a US semiconductor maker whose German subsidiary runs the Itzehoe plant in Schleswig-Holstein, has announced an investment of a 'high three-digit million euro' amount but did not name the exact sum. Andreas Hein, the economic policy spokesman for the CDU parliamentary group in the state parliament, put the figure at around one billion euros. On 30 October 2026 Economy Minister Claus Ruhe Madsen (CDU) handed over a funding notice of about 215 million euros from the federal government and the state, granted under the European Chips Act. The European Commission had already approved the aid, as announced in July. Further public money is going to semiconductor projects in North Rhine-Westphalia, Hesse and Bavaria.

Public funding, federal and state (approx.)215

Investment estimate by Andreas Hein, CDU (approx.)1,000

Public funding, federal and state (approx.)

215 EUR million

Investment estimate by Andreas Hein, CDU (approx.)

1000 EUR million

Data from the article text

A new fab for 300-millimetre wafers

The project adds a fab for 300-millimetre wafers, silicon discs 30 centimetres across that carry hundreds of microchips each. Vishay has so far made 200-millimetre wafers at Itzehoe, and the switch to the larger format is meant to double output next year. The new building spans five floors, three of them devoted to utilities and climate control. Its cleanroom covers 4,000 square metres and is cleaner than any operating theatre. Because dust particles or skin flakes could destroy the chips, wafers move through a fully automated overhead transport system.

Vishay says the new line will make power MOSFETs, transistors built for high currents and voltages. The company names automotive, industrial and commercial uses as the target markets, including high-performance computers for artificial intelligence, telecommunications and IT infrastructure. The company specialises in discrete semiconductors, which the report describes as relatively simple chips.

250 jobs and the skills gap

To start production next year, Vishay must fill 250 new positions. The hiring covers skilled workers, mechatronics and maintenance technicians, process engineers, and specialists in logistics, purchasing and IT. Markus Keil, senior vice president for wafers at Vishay, said the shortage of skilled workers is a serious issue the company is working on. Vishay works with universities and other institutions to attract more specialists to Itzehoe, and the company says it welcomes every application. Keil argued that such funding is essential for microelectronics in Europe and Germany, because without it the site cannot compete with other locations, particularly in Asia.

Reaction from the state

Madsen said the investment brings high technology and a degree of sovereignty to the state:

“The state is getting high technology. We are getting a certain sovereignty and the chance for innovation.”

According to the minister, the investment will attract know-how and skilled workers to Itzehoe, which will also matter to neighbouring companies. The regional chamber of industry and commerce, IHK Schleswig-Holstein, calls the multi-million investment a strong signal for the region and the state. The 250 positions and the 300-millimetre line are the next milestones before production begins next year.