Infineon signs chip supply agreement with Stellantis: worth up to 1 billion euros, which will be used for the latter's electric vehicles

CTOnews.com, November 15 (Xinhua)-- German chipmaker Infineon said in a statement yesterday that it has signed a non-binding memorandum of understanding with global carmaker Stellantis to provide silicon carbide semiconductors for many years, according to Taiwanese media website Quanheng.

According to the agreement, Infineon will reserve production capacity from 2025 to 2030 to provide power semiconductors directly to Stellantis suppliers. Infineon said the deal could involve chips worth more than 1 billion euros (7.27 billion yuan), which it said would be used in Stellantis-branded electric vehicles.

CTOnews.com learned that Stellantis Group brands include Abbas, Alfa Romeo, Chrysler, Citroen, Dodge, DS, Fiat, Jeep, Lancia, Maserati, Opel, Peugeot, Ram, Vauxhall, Free2move and Leasys. In the third quarter of 2022, Stellantis Group's global sales of pure electric vehicles reached 68000, an increase of 41 per cent compared with the same period last year.

Taiwanese media point out that chip shortages in the past few years have forced global carmakers to cancel production plans for millions of cars. Carlos Tavares, chief executive of Stellantis, said last month that the semiconductor supply chain was expected to remain tight until the end of next year.