SIEMENS PLANS TO MAKE MICROCHIPS IN ENGLAND

SIEMENS PLANS TO MAKE MICROCHIPS IN ENGLAND

German electronics giant Siemens AG said Friday it will invest 2 billion deutsche marks ($1.43 billion) in a new microchip factory in northeast England, one of the biggest investments ever in Britain by an overseas company.

The move is part of a massive expansion of its semiconductor capacity worldwide, including China, Austria, France, Malaysia, Indonesia and Singapore as well as Germany itself.Britain is getting the biggest slice. Won after fierce competition from Austria, Portugal and Ireland, the new British plant will create about 1,500 jobs in Wallsend, Newcastle-on-Tyne.

The factory will open in 1996-97, making chips for mobile telephones, as well as mobile radio and multi-media markets, Siemens said.