Onsemi’s Largest U.S. Chip Manufacturing Facility

FISHKILL – Standing with Onsemi’s CEO and newest employees, U.S. Senate Majority Leader Charles E. Schumer Friday announced that Onsemi has officially arrived in Dutchess County, saving over 1,000 good-paying tech jobs and investing $1.3 billion to formally launch the nation’s only 12-inch power discrete image sensor fab right in East Fishkill.

Building on the region’s legacy of innovation and bringing new manufacturing to the heart of the Hudson Valley. The senator worked relentlessly to prevent any layoffs during the sale of the East Fishkill fab to Onsemi, working to avoid further job loss that has historically plagued the East Fishkill fab. Schumer personally met with Onsemi’s top brass several times after the 2019 acquisition announcement, and worked with local partners to successfully pass his CHIPS and Science Act to provide historic new federal incentives to expand the semiconductor industry here in America, including in Upstate New York.

Now, Schumer said, East Fishkill will be home to Onsemi’s most advanced technology nodes. The senator also personally brought J.D. Grom, Senior Adviser to the Commerce Secretary for CHIPS Implementation, so the Biden administration can see firsthand how the Hudson Valley’s world-class workforce is ready to help bring manufacturing back from overseas, fix America’s supply chains, and power the future of this industry that is essential to our national security and economic future.

“With today’s ribbon cutting, Onsemi will preserve more than 1,000 local jobs, continue to boost the state’s leadership in the semiconductor industry, and supply ‘Made in New York’ chips for everything from electric vehicles to energy infrastructure across the country.” said Senator Schumer. “I am elated that Onsemi has officially made East Fishkill home to its leading and largest U.S. manufacturing fab. Onsemi has already hired nearly 100 people and committed $1.3 billion to continue for future generations the Hudson Valley’s rich history of science and technology. I have long said that New York has all the right ingredients to rebuild our nation’s semiconductor industry. I personally met with Onsemi’s top brass multiple times to emphasize this as I was working on my historic CHIPS and Science legislation to support the expansion of Onsemi and other semiconductor companies here in America, and especially in Upstate New York. Thanks to my CHIPS and Science Act, we are bringing manufacturing back to our country and strengthening our supply chains with investments like Onsemi’s in the Hudson Valley.”

“Onsemi appreciates Senate Majority Leader Schumer’s relentless efforts to ensure that the CHIPS and Science Act fulfills its potential of a resurgence of semiconductor manufacturing in America,” said Hassane El-Khoury, president and chief executive officer of Onsemi. “We are honored to have him lead the inauguration celebration at our newly acquired factory in East Fishkill, NY, which will produce chips that enable electric vehicles (EVs), EV charging and energy infrastructure.”

Schumer explained that semiconductor manufacturing and tech innovation have a long history in the Hudson Valley. In 1963, IBM first opened its East Fishkill campus. The plant was integral to the company’s semiconductor business for over 50 years, defining Dutchess County’s economic success for decades. In 2014, IBM announced that it would sell its 300mm chip fab to GlobalFoundries and, four years later, in April of 2019, GlobalFoundries announced that it would sell the plant to Onsemi. Following this acquisition announcement, Schumer made it his mission to re-establish East Fishkill’s decades-long legacy of chip manufacturing and innovation, holding multiple meetings with Onsemi’s top brass, including with the company’s current CEO, Hassane El-Khoury, urging him to retain the skilled workforce at the campus following decades of cuts.

At the same time, Schumer worked with local officials to help deliver new federal incentives to help boost New York’s semiconductor industry. Months after Onsemi’s acquisition of the East Fishkill site was announced, Schumer proposed a major tech investment “moon shot” in cutting-edge technologies like semiconductors to out-compete China. The senator then spent the next three years working to pass this vision into law, backed by many Hudson Valley officials joining him Friday, including the Council of Industry, HVEDC, Marist College, and Onsemi. Schumer said these efforts ultimately manifested into the CHIPS and Science Act, which Schumer championed and led to passage in August of 2022, providing a generational investment and opportunity to bring innovation and microchip manufacturing back to the Hudson Valley through tens of billions of dollars in new federal incentives for microchip manufacturing and research and development in the United States.

With the announcement, Schumer said, Onsemi will officially become the only U.S.-based image sensor producer for automotive and industrial applications, bringing microchip manufacturing back from foreign foundries to its Hudson Valley roots and providing a New York-made microchip to help fuel the expansion of the electric vehicle market, of energy infrastructure, and more.

“The Onsemi expansion in East Fishkill is an example of the resurgence of semiconductor manufacturing in the U.S. that will be accelerated by the CHIPS and Science Act that Senator Schumer led to passage last year. As early supporters of Senator Schumer’s CHIPS bill, we are thrilled to welcome Onsemi to East Fishkill to create good paying jobs, boost our local economy, and continue the Dutchess County legacy of excellence in science and technology,” said Dutchess County’s Assistant County Executive Ronald Hicks.

“A reliable and secure supply of semiconductors is vital to manufacturers across the nation and the Hudson Valley. The investment that Onsemi is making to expand their production capabilities in the region is an important step to securing that supply. Senator Schumer’s leadership in passing the CHIPS and Science Act was crucial to this investment that will have a lasting, positive impact on the Hudson Valley economy,” said Harold King, President Council of Industry of Southeastern New York.

“The Town of East Fishkill is very excited about Onsemi’s arrival. We really hope the CHIPS Act can increase semiconductor manufacturing and jobs and will do everything we can to support these efforts,” said Town of East Fishkill Supervisor Nick D’Alessandro.

Additionally, Schumer revealed that Onsemi has committed to building its New York’s semiconductor workforce pipeline, announcing that Onsemi will donate $500,000 to the Rochester Institute of Technology (RIT) over 10 years, building capabilities in consumer devices and intelligent systems that rely on computer chips to create co-op experiences, workforce development opportunities, and new research initiatives for students and faculty.

With an established microelectronic engineering program, Schumer said RIT focuses on the design and development of computer chips through its Semiconductor Microsystems and Fabrication Lab. Pointing to the $200 million for workforce development specifically for the semiconductor industry included in his CHIPS bill, along with billions of dollars in additional federal investment for STEM training and education, Schumer said these New York workforce efforts supporting Onsemi’s new fab will further support their continued growth.

This Onsemi partnership with RIT adds to other critical training initiatives in the region, including the $1.49 million grant awarded last year to Dutchess Community College (DCC) to create a SUNY Future of Work Center at DCC’s new Mechatronics and Workforce Development Lab in Fishkill. Developed by the Dutchess County Economic Development Advisory Council’s Education and Workforce Committee, Schumer said the lab’s mission is to close the skills gaps and create a pipeline to jobs, especially in underrepresented communities.

Onsemi has already committed $1.3 billion towards the long-term future of the East Fishkill fab and its employees, making significant investments in 300mm capabilities to accelerate growth in the company’s power, analog, and sensing products. East Fishkill is now the largest Onsemi U.S. manufacturing facility, adding advanced image sensor capabilities to the company’s manufacturing profile. The fab also creates new capacity for its silicon power products, which the company is transitioning away from Korea, to support Onsemi’s expansion of silicon carbide production, while also working to support long-term growth for its intelligent sensor business.