Power semiconductors SiC power modules: Rapid advances and collaborations in China

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Wuxi InfiMotion Technology Co., Ltd.

The next generation of electric vehicles requires more and more SiC semiconductors, much to the delight of their manufacturers. The latest cooperation agreement between Infineon and Stellantis, who plan to jointly develop high-performance silicon carbide chips, is based on this trend.

Even in China, the largest growth market for SiC modules in the automotive industry, there are more and more strategic alliances. Automakers and their suppliers are cooperating with leading manufacturers of the new chip generation to avoid supply bottlenecks like those during the Corona period or various boom phases in e-mobility in the future. The chip manufacturers, in turn, receive relatively long-term sales guarantees in this way.

In September, the Japanese Infineon competitor Rohm and the Chinese automotive supplier UAES signed a long-term supply agreement for SiC power modules. UAES is a joint venture between Robert Bosch and the Chinese Zhonglian Automobile Electronics Systems Co., Ltd., which is closely linked to the state-owned car manufacturer SAIC.

Just like the cooperation between Infineon and Stellantis, these two companies also aim to use the favorable material properties of silicon carbide to increase the efficiency of electric cars, which are becoming ever more energy-hungry and software-defined.

Just a month later, in October this year, Rohm signed a long-term cooperation agreement with the Chinese car manufacturer Great Wall Motors (GWM). Both companies announced in press releases that they would jointly develop SiC chips for GWM's electric cars.

High demand thanks to 800-volt architectures

A particular trend in the Chinese automotive industry is currently causing demand for SiC applications of all kinds to grow very rapidly. More and more car models are being equipped with 800-volt architectures, which, thanks to better efficiency, enable longer battery ranges and shorter charging times, and are also considered safer than their predecessors.

If silicon carbide modules could still be described as an emerging niche technology in China throughout 2023 with a market penetration of 10.7 percent, that is no longer accurate just one year later. Between June and December 2023 alone, SiC penetration of 800-volt models increased from 15 to 18 and 29, 35, 39, and finally to 45%.

In new electric cars that must meet the high expectations of Chinese customers with intelligent cockpits and advanced driver assistance functions (ADAS), 800 volts are increasingly becoming the standard. Successful models like the AITO M9 with software from Huawei or the MEGA from Li Auto are naturally equipped with it.

And the market penetration of 800-volt powertrains continues to grow. The new technology could, according to estimates, dominate the majority of the automotive market in the People's Republic within just a few years.

SiC on the rise

A look at the latest electric car models in China shows the trend quite clearly. Equipped with SiC technology are, among others, the new electric SUV "Sterra ES" from Chery EXEED, the "GAC Aion V" from GAC Aion, the Jiangan S from HIMA, the new versions of the BYD Seal coming to market from 2025, as well as the new ZEEKR 007 and the latest Voyah-Zhiyin SUVs from Dongfeng.

The specialist magazine Trendforce thus sees a "noticeable trend of collaboration" between SiC and electric cars as well as hybrid vehicles in China. While the relatively expensive SiC technology was until recently reserved for the luxury segment of e-mobility, it is now rapidly penetrating the mass market.

This triggers a price drop for SiC modules, which in turn accelerates adoption in more car models. The SiC boom is so lucrative that rapid investments have created initial overcapacities, which the Chinese government is now countering with approval requirements for new chip capacities. New Chinese manufacturers pushing into the market are still achieving initial successes. However, chips installed in electric cars must not only be increasingly powerful but also very safe. Established manufacturers currently still have clear advantages in this area—if they can remain competitive on price. For this, high-volume production is important.

Battle for the throne

The foreign SiC giants such as STMicroelectronics, Infineon, or onsemi, which still dominate the global and Chinese automotive chip market, are competing with each other over who can sign the best and most cooperation agreements with Chinese OEMs and suppliers in the automotive industry.

While STMicroelectronics was able to secure GWM, Infineon won a large supply contract for Xiaomi. The mobile phone manufacturer recently launched its first electric car. Onsemi from Japan, in turn, has signed a long-term cooperation agreement with Li Auto.

STMicroelectronics is also thinking far ahead and has begun a partnership with the leading Chinese SiC manufacturer Sanan Optoelectronics to strengthen its local production and thus its price advantages. To this end, billions of euros are being invested in a joint plant for SiC chip production in China. (sb)