Industrial Development Agency JSC and the Polish Investment and Trade Agency together are working on the largest direct foreign investment in Poland's history

Date of posting: 2023-06-19

16 June 2023. Polish Prime Minister Mateusz Morawiecki and Intel Corporation CEO Pat Gelsinger have launched the largest direct foreign investment in Poland's history. The Silicon Valley technology giant will invest nearly PLN 20 billion in Intel’s plant assembly and test facility in Miękinia. The Polish Investment and Trade Agency and Industrial Development Agency JSC, in cooperation with the Ministry of Digitalisation and the Legnica Special Economic Zone, were responsible for the substantive handling of the investment, which opens a new chapter in the history of Polish industry.

ARP S.A. and PAIH, supported by the Minister of Digitalisation Janusz Cieszynski, were involved in winning Intel's project for Poland as early as 2021. Poland was competing with several other countries for investment locations. The companies, together with the Ministry of Digitalisation, jointly assisted the American company at every stage of the preparatory work for the investment and, in cooperation with the Legnica SEZ, took part in the preparation of the offer and presentation of the investment area.

- The Intel factory is more than just another investment. It is a project that can be an impulse to revolutionise the Polish economy - opening a new chapter in the history of our industry.
That is why the Industrial Development Agency has made every effort not to let this opportunity slip out of our hands," emphasises Krzysztof Michalski, Vice-President of the Management Board of the Industrial Development Agency.

- The choice of Poland as an investment location and, at the same time, the construction of a key element of the European semiconductor industry, is not accidental. It is a proof not only of the exceptional investment attractiveness of our country, its safety, but also of a perfectly functioning investor support system - adds Paweł Kurtasz, President of the Management Board of the Polish Investment and Trade Agency.

The Intel's plant is the largest high-tech investment in this region of Europe. The choice of American investors fell on Miękinia near Wrocław. Decisive factors were the infrastructural facilities and the proximity of an academic centre with a strong technical university. In production alone, the plant will employ over 2,000 workers, mainly highly qualified specialists and engineers.

- This is the first investment of its kind in Europe so the struggle for it was difficult and long. Intel has been present in our country for 30 years. It has been successful thanks to the excellent team of specialists and engineers that Poland is widely known for. However, an investment of such a large calibre is always preceded by very detailed analyses of competitive offers from different countries. Thanks to our efforts, Poland passed this test the best, even though the competition was really strong. We are glad that we could contribute to building a new, extremely modern industry in Poland. We hope that this will be the beginning of a real investment boom in Lower Silesia, and that other technology giants will follow Intel's footsteps and invest even more in Poland, says Marcin Fabianowicz, Managing Director at the PAIH Investment Department.

- There has never been an investment of this scale in Poland before. That is why its development required extensive cooperation. A special team at the headquarters of the Industrial Development Agency, our Wrocław branch, the Polish Investment and Trade Agency and the Legnica SEZ worked on the preparation of the project, while we also received support from the Ministry of Digitalisation, the Ministry of Development, the Ministry of Environment, the Ministry of Infrastructure, the Polish Waters, KOWR and representatives of numerous local authorities. The professional coordination of the activities of so many institutions was key to the successful execution of this ground-breaking project," adds Zbigniew Bednarski, Director of the ARP S.A. Branch Coordination Office.

In order to ensure optimal conditions for the operation of the investment, ARP S.A. intends to further deepen its cooperation with the Legnica SEZ. The first task is to adequately prepare the plot for the investment - both for Intel and for its cooperators. The American company's plant will be built on an area of almost 300 ha. The whole project - the activities of the investor and its cooperators - will generate at least 10 thousand new jobs and will become a development lever for Lower Silesia and the whole of Poland.

Intel is one of the world's leading manufacturers in the semiconductor industry. Processors, which are created using technology native to Silicon Valley, are indispensable in production for all sectors of the electronics industry - from basic household appliances to the most advanced computers. Intel's investment brings the Polish economy into the global supply chain of the most dynamic technology industry of the 21st century.

Agencja Rozwoju Przemysłu S.A. has extensive experience in working with major foreign investors. The company already manages the largest industrial park in Poland, where Europe's largest electric car battery production plant from LG Energy Solutions operates. More than 10,000 employees work in the companies of the Kobierzyce industrial park, and the investment outlays of LG alone have already reached several billion PLN.

PAIH has also been working for years to increase the inflow of foreign direct investment into the country, being the main point of contact for all investors. In the past five years alone, thanks to the Agency's support, investment projects worth a total of more than EUR 15 billion have been attracted to Poland, creating at least 70,000 jobs.
Most of these are from the e-mobility, BSS-IT, R&D, food machinery and automotive industries.

In turn, the Legnica Special Economic Zone is one of the most rapidly developing SEZs in Poland. In recent years alone, it has attracted such giants as PepsiCo - an investment worth over PLN 1 billion, generating 450 jobs, or Viessmann - another investment worth over PLN 1 billion, generating nearly 2,000 jobs.

- Just over a fortnight ago, in Święte near Środa Śląska there was an opening of a PepsiCo factory, the most environmentally sustainable plant in Europe, producing snacks to be supplied to 20 European markets.
Now we are following suit. Intel's investment proves that the Legnica Special Economic Zone is a perfect place for the development of not only small business, but also powerful global ventures," says Przemysław Bożek, President of the Management Board of the Legnica Special Economic Zone.

Intel Corporation's investment will increase the resilience of supply chains for products of strategic importance to the economy. The European Union aims to increase its share in global semiconductor production to 20% by the end of 2030. Intel's investment will be one of the key moves to achieve this goal.

- We are starting almost from scratch to build a new industry. We are working with a reliable and recognisable partner such as Intel. For years, Poland's rapid economic development has been made possible in large part by attracting foreign investment with increasingly high levels of technology. The semiconductor industry is key to the development of all other areas of the economy. Stable supply chains for semiconductors provide stable conditions for the development of the entire economy, comments president Paweł Kurtasz.

- When talking about the economy, we must always have geopolitics at the back of our minds. The pandemic and then the war in Ukraine shook global supply chains, at critical moments paralysing entire sectors of the economy based on semiconductors. Therefore, Intel's investment is not only a guarantee of growth, but also of security. It is also further evidence of the economic consolidation of the transatlantic world. Poland can only benefit from this," adds Krzysztof Michalski.

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