March 24, 2017
Albany, NY

Governor Cuomo Announces Danfoss to Establish New Manufacturing Operations in Utica

Governor Cuomo Announces Danfoss to Establish New Manufacturing Operations in Utica

World-Leading Supplier of Power Electronics Technology Will Create 300 New Jobs in the Mohawk Valley Semiconductor Company Expands as Part of New York Power Electronics Manufacturing Consortium

Governor Andrew M. Cuomo today announced Danfoss, one of the world's leading suppliers of power electronics, HVAC and mobile hydraulic solutions, will establish packaging operations in the Computer Chip Commercialization Center in Utica. This project is expected to create at least 300 new jobs. The State continues to invest in completing and fitting out the packaging facility at QUAD-C. Danfoss is expected to be operational and serving its customers, including General Electric, in the Mohawk Valley by early 2018.

"With Danfoss' commitment to establishing state-of-the-art manufacturing operations in Utica, we are cementing New York's role as a leader in semiconductor research and development, while creating hundreds of good-paying jobs in the region," Governor Cuomo said. "This expansion is proof positive that we are attracting 21st century companies from across the globe to Utica, and leveraging next generation technology to foster the continued growth and success of Mohawk Valley communities for years to come."

Danfoss, which is headquartered in Denmark and employs more than 24,000 staff across the globe, will occupy the entire QUAD-C facility in Utica, which includes two cleanrooms, lab and office space. This project supports and advances the New York Power Electronics Manufacturing Consortium, a public-private partnership along the Upstate corridor in developing the next generation of semiconductor materials and packaging to enable the creation of smaller, faster and more efficient mobile devices.

This facility will allow Danfoss Silicon Power to better serve its US customer base and will bring cost efficiency and quality manufacturing to the fast growing Silicon Carbide industry. Danfoss Silicon Power, one of the world’s leading, independent custom power module manufacturers, serving the automotive, renewable energy and industrial sectors, chose New York for the state’s strong technology ecosystem and skilled workforce. The QUAD-C facility expands the company’s presence in the US and complements the output of its Flensburg, Germany operations.

Danfoss Silicon Power Vice President & General Manager Claus Petersen said, "Today the US demand for power modules is mainly driven through Japanese and German imports. With this investment Danfoss will offer the US market a strong local partner, capable of providing best in class in packaging technology and high volume, high quality manufacturing."

The Power Electronics packaging facility at QUAD-C will advance New York's leadership in next-generation semiconductor research, development, and commercial fabrication to meet the global demand for mobile devices. Danfoss' presence will expand the scope of the Nano Utica initiative from computer chip commercialization into power electronics applications for industrial products such as wind turbines, utility-scale solar inverters, data centers and hybrid cars. The packaging facility at QUAD-C has the potential to lead to commercial breakthroughs in an array of applications ranging from super-computing, green energy, tablets, cell phones, EVs & HEVs, as well as a myriad of power electronics applications.

In order for Danfoss to establish their facility, New York will invest $100 million to complete portions of QUAD-C, including construction, tools and equipment. Danfoss will lease both the facility and tools from New York State in return for the creation of at least 300 new jobs in Utica for the next 15 years.

Niskayuna Technology Center at GE Global Research Vice President Danielle Merfeld said, "We're thrilled to see Danfoss joining the power electronics packaging facility at QUAD-C. They will be a key partner in advancing and commercializing the next generation of power devices with silicon carbide technology to usher in the next revolution in power. Together, we will work with the State to attract even more partners to accelerate new developments that solidify Utica and Upstate New York’s place in leading this transformational change across the energy sector."

Empire State Development President, CEO & Commissioner Howard Zemsky said, "When global companies like Danfoss choose the Mohawk Valley, it proves that companies creating cutting-edge technology are seeing Upstate New York as a great place to do business. The Mohawk Valley has a vision and strategic plan to create jobs and, under the leadership of Governor Cuomo, we are proud to support their efforts. Today’s announcement represents a significant investment in the region, and it demonstrates our continued commitment to spurring economic development and job creation while promoting groundbreaking nanoscience research and manufacturing from Albany to Utica."

Senator Joseph A. Griffo said, "The Mohawk Valley is increasingly seen as a great place to live and work, and today's announcement shows the progress we have made in Upstate New York. I would like to thank Danfoss for their commitment to job creation in Utica, and I look forward to the economic growth our region will continue to experience."

Assemblyman Anthony J. Brindisi, said, "It is certainly great news that Danfoss is coming to the Mohawk Valley for a very significant partnership with GE and other companies that will bring several hundred new jobs to the region. This project not only brings great opportunities in the power electronics field for residents of our area, it also will allow students at SUNY Polytechnic Institute to gain valuable learning experiences in the field, strengthening its role in our state’s university system. With this announcement and others that I am confident will be on the horizon, I believe the future for our economy is bright. Having this exciting project in the state-of-the art Quad C building right on the SUNY Poly campus in Marcy will lead to other employers in nanotechnology and related fields considering our area as a good place to grow and expand in."

Oneida County Executive Anthony J. Picente, Jr. said, "I'm pleased with today's announcement as we continue to see development in the Nano Industry here in Oneida County. I want to welcome Danfoss to Utica and look forward to watching them grow and succeed here in the Mohawk Valley. I thank Governor Cuomo for his continued commitment to our area, the Nano Utica project and the growing Nanotechnology/Advanced Technology industry right here in Upstate NY."

Utica Mayor Robert Palmieri said, "It's exciting to have a new manufacturing operation come to Utica. I commend Governor Cuomo, and our partners in State government, as well as, MV EDGE and join them in welcoming Danfoss to our community with open arms. This is a positive step forward in our mutual efforts to expand transformational economic development opportunities for our region."

Rome Mayor Jacqueline Izzo said, "This partnership represents a significant investment for the Mohawk Valley and will generate many new opportunities the City of Rome. We welcome the 300 direct new jobs coming to our region and look forward to building on this agreement. I thank Governor Cuomo, Empire State Development, SUNY Poly and Danfoss for making this possible."

Mohawk Valley EDGE President Steven DiMeo said, "These are exciting times in the Mohawk Valley as the region has solid momentum with the added investments at the Quad C by Danfoss. This partnership adds to the high tech ecosystem already in place around the region, and compliments the developments happening at Marcy Nanocenter."

Danfoss has ongoing business commitments to GE to supply SiC-based power modules, currently manufactured by the company in Germany, for which this facility will provide additional capacity and a domestic U.S. source. SiC-based power electronic devices have significant advantages over silicon, including the capacity to handle much higher frequencies and temperatures, which decreases the size and cost for companion filtering and cooling systems. Additionally, the devices can be half the size of similar silicon devices, providing increased power density and reliability.


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