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TI sets up seventh assembly/test facility in China

Posted: 23 Dec 2013 ?? ?Print Version ?Bookmark and Share

Keywords:Texas Instruments? assembly? test? UTAC?

Texas Instruments Inc. (TI) has acquired a 358,000 square foot building in the Chengdu Hi-Tech Zone from UTAC Chengdu Ltd that will house TI's seventh assembly/test (A/T) operation. The site will become the company's only end-to-end wafer fabrication and A/T facility which follows the earlier announcement by the company that its investments in these operations could total up to $1.69 billion over the next 15 years.

"TI's operations in China play a significant role in supporting TI's customers, today and well into the future, and we're excited to build the company's only fully integrated fab and A/T facility in Chengdu," said Kevin Ritchie, SVP of TI's technology & manufacturing group. "The addition of this back-end capacity further enhances TI's global manufacturing footprint, enabling us to better ensure continuity of supply to our customers and support their growth."

TI will immediately begin updating and equipping the facility while simultaneously running a small production line in the new building. In accordance with TI's commitment to preserving the environment across its global footprint of manufacturing operations, reducing water, energy and waste will be given priority consideration as the building is refurbished. TI plans for the A/T site to be equipped and in production in 4Q14.

This investment plan does not change TI's 2013 capital spending forecast. The company continues to expect its capital spending levels to remain about four percent of revenue until revenue exceeds $18 billion and should then range between 4-7 percent of revenue over the long term.

TI has served a broad array of customers in China for more than 27 years and has established 18 offices for sales and applications support, in addition to its wafer fabrication plant in Chengdu and its product distribution center in Shanghai.

TI has manufacturing operations throughout the world including the United States, Mexico, Germany, Scotland, China, Malaysia, Japan, Taiwan and the Philippines.

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