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PR No: C3330C



STMicroelectronics details company-wide program to reshape
manufacturing footprint and resize global cost base

• Increasing efficiency, automation, and AI will strengthen ST’s key technology R&D, design and
high-volume assets for advanced manufacturing in Europe.

• Planned investments over FY2025, 2026 and 2027 to focus on advanced manufacturing
infrastructure in 300mm silicon, 200mm silicon carbide, and technology R&D, for the benefit of
customers globally.

• Company-wide program, including both the previously disclosed resizing of cost base and the
reshaping of manufacturing footprint, expected to see up to 2,800 people leaving the company
globally on a voluntary basis over 3 years, on top of normal attrition.

• Confirmation of annual cost savings target in the high triple-digit million-dollar range exiting
2027.


Geneva, April 10, 2025 – STMicroelectronics N.V. (“ST”) (NYSE: STM), a global semiconductor leader
serving customers across the spectrum of electronics applications, today disclosed further elements of its
program to reshape its global manufacturing footprint. This comes as part of the program announced in
October 2024 to further strengthen ST’s competitiveness, solidify its position as a global semiconductor
leader, and ensure the long-term sustainability of its model as an Integrated Device Manufacturer by
leveraging strategic assets globally across technology R&D, design and high-volume manufacturing.

Jean-Marc Chery, President and CEO of STMicroelectronics said: “The reshaping of our manufacturing
footprint announced today will future proof our Integrated Device Manufacturer model with strategic assets
in Europe and improve our ability to innovate even faster, benefitting all our stakeholders. As we focus on
advanced manufacturing infrastructure and mainstream technologies, we will continue to leverage all of
our existing sites and bring redefined missions for some of them to support their long-term success. We
are committed to managing this program responsibly, according to our long-established values, and
exclusively through voluntary measures. The technology R&D, design, and high-volume manufacturing
activities in Italy and France will continue to be central to our global operations and will be reinforced via
planned investments in mainstream technologies”.

Innovating and scaling up to increase efficiency across manufacturing operations

As innovation cycles shorten, ST’s manufacturing strategy is evolving to accelerate the delivery of
innovative, proprietary technologies and products at scale to customers globally, across automotive,
industrial, personal electronics and communication infrastructure applications.

The reshaping and modernization of ST’s manufacturing operations aim to achieve two main objectives:
prioritizing planned investments towards future-ready infrastructure such as 300mm silicon and 200mm
silicon carbide wafer fabs to enable them to reach a critical scale and maximizing the productivity and
efficiency of legacy 150mm capabilities and mature 200mm capabilities. In parallel, ST plans to continue
to invest in upgrading the technology used across its operations, deploying additional AI and automation

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for additional efficiency in technology R&D, manufacturing, reliability and qualification processes, with a
continued focus on sustainability.


Strengthening ST’s manufacturing ecosystem

Over the next three years, the reshaping of ST’s manufacturing footprint will design and strengthen ST’s
complementary ecosystems: in France around digital technologies, in Italy around analog and power
technologies and in Singapore on mature technologies. The optimization of these operations aim to
achieve full capacity utilization and drive technological differentiation to compete globally. As announced
previously, each of ST’s current sites will continue to play a long-term role within the company’s global
operations.

Building 300mm silicon megafabs in Agrate and Crolles

The Agrate (Italy) 300mm fab will continue to be scaled up, with the aim to become ST’s flagship high-
volume manufacturing facility for smart power and mixed signal technologies. The plan is to double its
current capacity to 4,000 wafers per week (wpw) by 2027, with planned modular expansions increasing
capacity up to 14,000 wpw, depending on market conditions. As we increase our focus on 300mm
manufacturing, the Agrate 200mm fab will refocus on MEMS.
The Crolles (France) 300mm fab will be further cemented as the core of ST’s digital products ecosystem.
The plan is to increase capacity to 14,000 wpw by 2027 with planned modular expansions increasing
capacity up to 20,000 wpw, depending on market conditions. In addition, we will convert the Crolles
200mm fab to support Electrical Wafer Sorting high volume manufacturing and advanced packaging
technologies, hosting activities that do not exist today in Europe. The focus will be on next-generation
leading technologies including optical sensing and silicon photonics.

Specialized Manufacturing and Competence Center for Power Electronics in Catania

Catania will continue to serve as a center of excellence for power and wide-bandgap semiconductor
devices. The development of the new Silicon Carbide Campus is progressing as planned, with production
of 200mm wafers set to begin in Q4 2025, reinforcing ST’s leadership in next-generation power
technologies. Our resources supporting Catania’s current 150mm and EWS capabilities will be refocused
on 200mm silicon carbide and silicon power semiconductor production, including GaN-on-silicon,
reinforcing ST’s leadership in next-generation power technologies.

Optimizing Other Manufacturing Sites

Rousset (France) will remain focused on 200mm manufacturing, with additional volumes reallocated from
other sites enabling full saturation of existing manufacturing capacity for optimized efficiency.

Tours (France) will remain focused on its 200mm silicon production line for select technologies, while other
activities - including legacy 150mm manufacturing activities - will be transferred to different ST sites, and
it will also remain a center of competence for GaN, mainly on epitaxy. The Tours site will also host a new
activity: panel-level-packaging, one of the major enablers of chiplets, a technology for complex
semiconductor applications that will be key for ST in the future.

Ang Mo Kio (Singapore), ST’s high-volume fab for mature technologies, will remain focused on 200mm
silicon manufacturing and will also host our consolidated global legacy 150mm silicon capabilities.

Kirkop (Malta), ST’s high-volume test and packaging fab in Europe will be upgraded, with the addition of
advanced automated technologies which will be key to support next-generation products.




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Workforce and skills evolution

As ST reshapes its manufacturing footprint over the next three years, the workforce size and required skill
sets will evolve. Advanced manufacturing will shift roles from legacy processes involving repetitive manual
tasks to a stronger focus on process control, automation, and design. ST will manage this transition
through voluntary measures, with a continued commitment to ongoing constructive dialogue and
negotiations with employee representatives in accordance with applicable national regulations. Based on
current projections, the program is expected to see up to 2,800 people leaving the company globally on a
voluntary basis, on top of normal attrition. These changes are expected to occur mainly in 2026 and 2027.
Regular updates will be provided to stakeholders as the program progresses.


About STMicroelectronics

At ST, we are 50,000 creators and makers of semiconductor technologies mastering the semiconductor
supply chain with state-of-the-art manufacturing facilities. An integrated device manufacturer, we work with
more than 200,000 customers and thousands of partners to design and build products, solutions, and
ecosystems that address their challenges and opportunities, and the need to support a more sustainable
world. Our technologies enable smarter mobility, more efficient power and energy management, and the
wide-scale deployment of cloud-connected autonomous things. We are on track to be carbon neutral in all
direct and indirect emissions (scopes 1 and 2), product transportation, business travel, and employee
commuting emissions (our scope 3 focus), and to achieve our 100% renewable electricity sourcing goal by
the end of 2027. Further information can be found at www.st.com.

For further information, please contact:

INVESTOR RELATIONS:
Jérôme Ramel
EVP Corporate Development & Integrated External Communication
Tel: +41 22 929 59 20
jerome.ramel@st.com

MEDIA RELATIONS:
Alexis Breton
Corporate External Communications
Tel: + 33 6 59 16 79 08
alexis.breton@st.com




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