DEEPAL and StarPower Joint Venture Commences Production of Automotive-Grade Semiconductors
Shanghai (Gasgoo)- On August 20, DEEPAL, an NEV brand under China Changan Automobile Group, and StarPower, a Chinese semiconductor producer, announced the commencement of operations at their joint venture, Chongqing Anda Semiconductor. This milestone marks a significant advancement in the development of automotive-grade power semiconductors and enhances the supply chain for China’s rapidly growing new energy vehicle (NEV) industry.
Photo credit: DEEPAL
Chongqing Anda Semiconductor will specialize in the production of advanced automotive-grade power devices, which are integral to the performance and safety of electric vehicles (EVs). StarPower, a prominent supplier of high-power modules in China, supplied components for over 1.2 million NEVs in 2022. The establishment of this joint venture is poised to strengthen StarPower’s market position and provide DEEPAL with a reliable source of critical chips.
Beyond its immediate impact, the facility’s inauguration carries broader significance. For DEEPAL, it signifies a strategic move towards vertical integration of its supply chain and supports the company’s goal of achieving million-unit sales. This collaborative model between automakers and semiconductor manufacturers sets a precedent for driving innovation and resilience in the NEV sector.
Amidst China’s auto industry transitioning from domestic competition to global expansion, closer partnerships with semiconductor companies offer a buffer against supply chain risks. The emphasis on semiconductor control is increasingly recognized as essential for overcoming industry bottlenecks.
Simultaneously, DEEPAL is advancing its international footprint through its “1+5+2” market strategy. By 2025, the brand aims to operate in 66 countries and regions, with a target of expanding to 90 locations by year-end. The newly operational semiconductor plant not only secures DEEPAL’s domestic operations but also serves as a foundation for its global aspirations.