BEIJING " Dutch electronics giant Royal Philips Electronics NV is forming a joint venture with Jilin Sino-Microelectronics Co. Ltd. (JSMC) to develop, design and manufacture bipolar power semiconductor chips, Philips said Tuesday (Nov. 25).
An announcement was expected following a statement on Monday by Gerard Kleisterlee, Philips chief executive officer.
Products developed under the joint venture will be marketed and sold by the parent companies, but financial details of the joint venture, dubbed Philips Jilin Semiconductor Co. Ltd. (PJSC), were not been disclosed.
JSMC, which was established in 1999 and listed on the Shanghai stock exchange in March 2001, is one of the largest power transistor manufacturers in China. It is also a major supplier to Chinese manufacturers of television sets, telecommunications equipment, computer hardware and automation machinery, Philips said.
PJSC will be located in northeastern Jilin province, and will supply both the international and domestic markets with bipolar power products ranging from epitaxial diodes, deflection transistors, damper diodes, triacs and thyristors. PJSC is due to begin operations mid-2004, Philips said.
"Philips has made substantial investments in China exceeding $2.5 billion, and we see the Jilin JV as a strategic continuation of this investment. JSMC has demonstrated its ability to quickly build and ramp up production of a state-of-the art facility, and the plant location allows us to tap the skills and experience of the people in the region," Scott McGregor, chief executive officer of Philips Semiconductors, said in a statement.
"Philips has been a leader in the power arena for more than 20 years, bringing a unique blend of innovative processes, manufacturing capabilities and advanced product development to the industry," said Xia Zengwen, chairman of JSMC.