STMicroelectronics Invests $60M in French Plant for Next-Gen Chip Production

STMicroelectronics is investing $60 million in its Tours, France plant to establish a pilot line for advanced chip production using Panel-Level Packaging technology. The upgrade aims to anchor more manufacturing in Europe, where the company is based. This comes as the plant is undergoing restructuring, which has resulted in job cuts. The new pilot line is expected to be operational by Q3 2026.

STMicroelectronics (NYSE: STM) has announced a significant investment in its Tours, France plant, aiming to establish a pilot line for advanced chip production using Panel-Level Packaging (PLP) technology. The $60 million investment, expected to be operational by Q3 2026, underscores the company's strategic push to anchor more manufacturing in Europe, where STMicroelectronics is headquartered STMicroelectronics to advance next-generation chip manufacturing technology with new PLP pilot line in Tours, France^[1].

The Tours plant is undergoing restructuring, which has led to job cuts. The new PLP pilot line is expected to enhance manufacturing efficiency and expand the company's technological capabilities. The advanced PLP technology will utilize large rectangular panels instead of traditional circular wafers, enabling higher throughput and cost savings STMicroelectronics to advance next-generation chip manufacturing technology with new PLP pilot line in Tours, France^[2].

The PLP technology, featuring Direct Copper Interconnect (DCI), is already in production at very high volumes, producing over 5 million units daily on a highly automated line in Malaysia. The new pilot line in Tours will build upon this existing technology, aiming to extend PLP's application across automotive, industrial, and consumer products, including RF, analog, power, and microcontrollers STMicroelectronics to advance next-generation chip manufacturing technology with new PLP pilot line in Tours, France^[1].

The project will leverage synergies with the local R&D ecosystem, including the CERTEM R&D center, to create a hub for packaging innovation. This strategic initiative is part of STMicroelectronics' broader focus on heterogeneous integration, a scalable and efficient approach to chip integration STMicroelectronics to advance next-generation chip manufacturing technology with new PLP pilot line in Tours, France^[1].

The investment in the Tours plant represents a long-term commitment to advancing manufacturing capabilities in Europe, complementing STMicroelectronics' existing packaging operations in Malta. The company is building a multidisciplinary team combining manufacturing automation, process engineering, and data science expertise to drive this innovation STMicroelectronics to advance next-generation chip manufacturing technology with new PLP pilot line in Tours, France^[1].