On Semi venture in China looks at expansion

LESHAN, CHINA: Even as demand continued to remain unstable, US chip manufacturer On Semiconductor has kicked off expansion at its joint IC-assembly and test venture named Leshan-Phoenix Semiconductor Co. Ltd in China.

The company has outlined measures to see to it that the expansion plans are right in track.

The On Semi-owned Leshan-Phoenix Semiconductor is looking at boosting its efforts in miniature surface mount packages for smartphones and other products. It is being reported that the activity also includes as new line of small packages for Apple’s iPhone.

Leshan-Phoenix Semiconductor Co also operates two plants to near capacity. This has in fact spurred the need for an expansion that would incur a cost of $30 million at its Plant 3. Included in the expansion plan is an effort to move upstream and produce more complex quad flat no-lead plastic packages. It is being said that the growing demand has prompted expansion of its Plant 3 facility.

Originally a joint venture between Motorola’s former semiconductor unit and China’s own IC company Leshan Radio Co, Leshan - Phoenix Semiconductor is located at the site of Great Buddha at Leshan.

Motorola had, in 1990, spun off its IC unit into an independent company called On Semiconductor. On then took control of the joint venture in China. On Semi now holds 70 percent of Leshan-Phoenix, while Leshan has a 30 percent stake.