Wolfspeed’s $5B Silicon Carbide Factory in North Carolina Nears Completion

Updates: Progress continues on Wolfspeed’s $5B semiconductor factory in North Carolina as it nears completion and the start of production.

Durham-based Wolfspeed is close to completing the $5 billion semiconductor factory that will be built in Chatham County, North Carolina. Company officials said Friday, February 7 they expect to take full control of the factory by March. Production is to start in June. Construction crews are putting finishing touches on the massive 2.2 million-square-foot plant.

The factory will be located in Siler City, where it will manufacture silicon carbide crystals, a vital component in electric vehicle technology. This project falls under the massive investments North Carolina has secured within the last four years, which include Toyota’s facility in Randolph County and the expansion by Fujifilm Diosynth in Holly Springs. It is among those few projects nearing completion by Wolfspeed.

In addition, state and local governments committed more than $700 million in incentives for the project. It has already handed over some money for site preparations, while most of it hinges on Wolfspeed meeting hiring benchmarks set out by the state.

The facility will make advanced 200-millimeter silicon carbide crystals, larger than the company now produces. The sprawling site — about 60 miles west of Raleigh — has room for another 2 million square feet of expansion, said Chris McCann, Wolfspeed’s vice president of global project management.

Employment

In the long term, the North Carolina factory could employ about 1,800 workers. At the peak of construction, about 3,800 were on site. Testing of some crystal production is underway, and at full capacity, the factory will manufacture and then refine silicon carbide crystals into wafers.

So far, Wolfspeed has hired over 200 employees for the Siler City plant, according to a company spokesperson.

Meanwhile, as North Carolina factory nears completion, Wolfspeed is working in Washington to nail down federal funding through the CHIPS Act. Interim CEO Thomas Werner says keeping the U.S. competitive in semiconductor technology is a bipartisan issue. Werner expressed confidence funding for the project will remain intact regardless of political shifts in the future.

Read also: GlobalFoundries Secures $1.5 Billion Award from CHIPS Act for 3 Projects in NY and VT

Wolfspeed’s $5B Silicon Carbide Factory in North Carolina: Factsheet

Project Overview

Location: Siler City, Chatham County, North Carolina (60 miles west of Raleigh)

Total Investment: $5 billion

Facility Size: 2.2 million square feet

Additional Expansion Capacity: 2 million square feet

Wolfspeed’s NC Factory Timeline

Construction Status: Final stages

Facility Possession: March 2025

Production Start Date: June 2025

Current Status: Completing final construction with some crystal production testing underway

Manufacturing Capabilities

Primary Product: 200mm silicon carbide crystals

Production Scope: Full manufacturing process from crystal production to wafer refinement

Application: Key component for electric vehicle technology

Employment

Current Employment: 200+ employees hired

Projected Total Employment: 1,800 workers at full operation

Peak Construction Employment: 3,800 workers

Government Support

Total Incentives Package: Over $700 million from state and local governments

Funding Structure:

Partial allocation for site preparation

Remaining funds contingent on meeting hiring targets

Additional Funding: Pursuing federal support through CHIPS Act

Wolfspeed’s North Carolina Factory Strategic Significance

Part of North Carolina’s major industrial development wave

Alongside other major projects:

Toyota facility (Randolph County)

Fujifilm Diosynth expansion (Holly Springs)

Contributes to U.S. semiconductor manufacturing capabilities

Bipartisan support for maintaining competitive edge in semiconductor technology

Read also: Wolfspeed’s $5 billion Silicon Carbide Factory in North Carolina