French defence group Thales, connector maker Radiall and Taiwan’s FoxConn have begun preliminary talks to establish a semiconductor assembly and test facility in France, they said on Monday.
The proposed plant would focus on outsourced semiconductor assembly and test (OSAT) operations, with production capacity expected to exceed 100 million system-in-package (SiP) units annually by 2031.
“This initiative is expected to aggregate additional European industrial actors,” Thales said in a statement, adding the total investment would exceed 250 million euros ($272 million).
The companies did not disclose potential locations within France or a timeline for final investment decisions.
The project would represent a significant boost to Europe’s semiconductor manufacturing capabilities as the region seeks greater technological sovereignty.