GlobalWafers announced today (September 14) that recovery efforts following the fire that occurred on July 20 local time at the 8-inch production line of its Novara site in Italy continue to make steady progress. The site has officially begun a partial resumption of operations, with the overall recovery progressing slightly ahead of the original schedule. All critical utility systems have now been restored, and certain front-end processes are gradually resuming production. Epitaxy (EPI) operations resumed ahead of wafering restart, with the first batch of products completing processing and beginning shipment. With wafering and EPI operations now resumed, the Novara facility is continuing to restore its production capability. While certain downstream operations affected by the fire continue to be progressively rebuilt, the successful restart of wafering and EPI operations represents a significant step toward restoring full production capability.
The fire primarily affected certain back-end process areas of the Novara site’s 8-inch production line and did not result in damage to the entire production line. Most front-end process areas and equipment were not directly affected by fire or high temperatures. The building housing the Epitaxy (EPI) process was also unaffected by the incident, providing a solid foundation for the subsequent restart of production. Following nearly two months of recovery efforts, the site has completed the relevant safety inspections, restored critical utility systems, and is gradually resuming production. The Novara site is covered by comprehensive property insurance, including coverage for property damage and business interruption losses. The related insurance claim process is currently underway.
Leveraging its long-established global manufacturing footprint, cross-site qualification capabilities, and diversified supply network, GlobalWafers immediately activated cross-site support and global capacity allocation following the incident. Drawing on the strength of its manufacturing network spanning 18 operational sites across 9 countries, production sites in Asia and Europe have been working together to support customer demand through cross-regional capacity allocation and resource integration, ensuring supply continuity for customers and minimizing the impact on deliveries while Novara returned to operation. Related product qualification and capacity transfer activities continue to advance, demonstrating the operational flexibility and supply resilience enabled by GlobalWafers’ global footprint.
GlobalWafers noted that the current restart primarily covers selected upstream manufacturing operations and Epitaxy (EPI) processes, with product supply gradually resuming in line with the recovery plan and customer qualification progress. Certain downstream operations directly affected by the fire continue to be supported by other GlobalWafers manufacturing sites. As the supporting sites are already operating at full utilization and certain newly ordered equipment requires extended lead times, Novara’s production capacity and revenue are not expected to fully recover immediately. Nevertheless, the overall recovery remains ahead of the original schedule, and customers have expressed strong recognition for the Company’s ability to leverage its global manufacturing network to provide cross-regional capacity support and maintain supply continuity. Capacity and output are expected to increase progressively as customer qualifications are completed, cross-site support continues, and reconstruction activities advance.
In addition, the Novara 12-inch expansion project was not affected by the incident. Construction has been completed, while customer qualification and mass production ramp-up activities continue to progress. Supply capability is also being gradually increased, laying the foundation for future capacity growth.