STMicroelectronics $500 million to Shenzhen China largest base

Shenzhen good business environment and lead to the "golden phoenix". Yesterday afternoon, the world's fifth largest semiconductor manufacturers -- STMicroelectronics (ST) president and CEO Carol Berzotti in Shenzhen Wuzhou Hotel announced: STMicroelectronics will invest $500 million to build a new chip packaging and testing plant in Shenzhen Longgang Baolong Industrial zone. Mayor Xu Zongheng, deputy mayor of attended the signing ceremony of the cooperation agreement between the government of Shenzhen and the Italian law firm.

STMicroelectronics is one of the world's leading manufacturer of a wide range of product line, in 2005 ranked fifth in the global semiconductor manufacturers. In 1994, STMicroelectronics joint venture in Shenzhen saiyifa microelectronics Co Ltd, established the first test package factory in china. In 1998, packaging and testing project of Shenzhen saiyifa microelectronics company acceptance by the state. At present, the company's annual production capacity has reached 4 billion 500 million, in 2005 the total value of imports and exports reached $1 billion 600 million, becoming an important part of the entire ST group. New projects signed yesterday by STMicroelectronics company owned, plans to start construction this year, and the stage of investment in the next few years, the total investment of nearly $500 million, the year after the completion of the yield can reach 7 billion, chip packaging and testing plant when located in Longgang Baolong Industrial Zone will become the base of chip packaging and testing production in the country's largest.

Xu Zongheng on behalf of the municipal Party committee and government to express congratulations on the successful signing of the project. He said, STMicroelectronics company chip packaging and testing project was officially settled in Shenzhen, not only is the company an important initiative to promote global strategic layout, will also further improve the Shenzhen integrated circuit industry chain, promote the optimization and upgrading of industrial structure, play a very important role in promoting. At present, the high-tech industry with electronic information industry led has become the most important pillar industry in Shenzhen, ST companies continue to choose the development of the integrated circuit industry in deep investment, fully affirmed the investment environment of our city and the prospect of the development of high-tech industries. Shenzhen will continue to actively create conditions in terms of industrial policy, market order, legal environment and so on, and provide the best service to all Chinese and foreign enterprises, including Italian companies.

Carlo Berzotti said at the signing ceremony, is expected to 2010, Chinese will become the world's largest semiconductor market in Shenzhen, the construction of second packaging plant, ST is expanding Chinese manufacturing base of major initiatives. The investment environment of Shenzhen has been widely recognized by the business sector, the success of the experience of the rapid development of the joint venture project based on previously in the deep, and the strong support of the Shenzhen municipal government, believe that the new project will be successful, so as to enhance the ST in the Chinese Market competitive advantage. Before the signing ceremony, Xu Zongheng met with Carlo Berzotti and his party.