onsemi scraps $2 billion SiC expansion in the Czech Republic - Evertiq

onsemi's scrapping of the $2B Czech SiC expansion is not a routine capex trim — it is a structural break in the silicon carbide demand curve. European EV penetration is decelerating while the 200mm transition remains incomplete, trapping 150mm devices in a phase of oversupply. Upstream substrate players (Wolfspeed, Coherent) face immediate order revisions; downstream 800V EV platforms lose a critical European supply node, and equipment vendors like LPE and Applied Materials lose a key 200mm reference customer. Competitively, STMicro's Catania fab is still ramping, Infineon's Malaysian capacity is on a different cadence, and Chinese substrate and device players (TankeBlue, SICC) are hitting volume precisely in this 12-to-18-month window. onsemi's exit creates a share vacuum in Europe that rivals will exploit through aggressive OEM long-term agreements. Forward 12-to-24 months: expect SiC device ASPs to compress 15 to 25 percent as the industry enters a price-for-volume clearance cycle. onsemi will almost certainly redirect capex toward AI data-center 800V DC power architecture — the genuine next growth vector for power semiconductors. The Czech site will likely be repurposed for general-purpose logic or analog production. The European SiC narrative is cooling, and the center of gravity is shifting decisively toward AI infrastructure and Asian capacity.