Remarks by Minister for Trade and Industry (Energy and Industry) Dr Tan See Leng at VSMC Grand Opening Ceremony

Your Excellency Anneke Adema, Ambassador of the Kingdom of the Netherlands to Singapore,

Dr Tung Chen-Yuan, Representative, Taipei Representative Office in Singapore,

Mr Leuh Fang, Chairman, Vanguard International Semiconductor Corporation, and Visionpower Semiconductor Manufacturing Company,

Mr Rafael Sotomayor, President and Chief Executive Officer, NXP Semiconductors,

1. Good morning. It is a pleasure to be back here. It feels like just yesterday that I joined you for the groundbreaking of this facility less than two years ago. VSMC has since built the entire core-and-shell, fitted out the cleanrooms, installed sophisticated equipment, and is now preparing to begin production.

2. This is a remarkable pace of execution – a record for fab construction in Singapore, and fast by global standards too. I would like to thank VSMC’s engineers, technicians, contractors, suppliers, and public agencies for your hard work in bringing its new fab to life.

3. The semiconductor industry is entering an unprecedented period of growth, and is set to double in size from 2025 to US$1.6 trillion by 2030.

4. Much of the attention today is on the most advanced logic chips that power artificial intelligence. But specialty semiconductors are just as essential.

a. Unlike leading-edge logic chips, where performance is driven largely by transistor density, specialty chips are optimised for specific functions and applications, such as managing power, sensing and controlling systems in vehicles and industrial equipment.

b. Demand for them is growing with trends such as electrification, connected devices, and industrial automation.

5. Singapore is well positioned to capture these opportunities. We have developed strong capabilities in specialty semiconductors over decades and VSMC will build on this foundation.