According to Silicon Republic, US manufacturing company Sanmina is expanding its Fermoy medical facility in north Cork, creating up to 150 skilled jobs in engineering, quality, manufacturing and operations. The expansion includes a new ISO8 clean room and several high-volume automation lines dedicated to producing wearable medical devices, with the completed facility officially opening on November 3rd with An Taoiseach Micheál Martin in attendance. The Fermoy site, opened in 1989, has grown to become Sanmina’s largest medical facility in Europe, reinforcing Ireland’s role as a medtech manufacturing hub. This expansion comes shortly after Sanmina’s recent $3 billion purchase of ZT Systems’ data centre infrastructure manufacturing business from AMD, signaling broader strategic moves beyond medical manufacturing.
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Ireland’s Strategic Position in European Medtech
Sanmina’s expansion represents more than just job creation—it’s a strategic bet on Ireland’s continued dominance in the European medical technology sector. Ireland has quietly become the second-largest medtech exporter in Europe, with over 300 medtech companies employing approximately 32,000 people. The country’s combination of skilled engineering talent, favorable corporate tax environment, and EU market access makes it an ideal manufacturing base for companies serving both European and global markets. What’s particularly significant is that this expansion focuses specifically on wearable medical devices, one of the fastest-growing segments in healthcare technology.
The Automation Imperative in Medical Manufacturing
The installation of Sanmina’s first new automation line at the Fermoy facility reflects a broader industry shift toward automated medical device production. Medical manufacturing faces unique challenges around precision, quality control, and regulatory compliance that make automation particularly valuable. The inclusion of an ISO8 clean room—typically used for non-sterile compounding or filling of products—suggests Sanmina is positioning itself for higher-margin, complex medical device assembly. This automation push comes as medical device manufacturers globally face pressure to reduce costs while maintaining the rigorous quality standards required by regulators like the FDA and EMA.
Shifting Competitive Dynamics in Contract Manufacturing
Sanmina’s medical expansion, combined with its recent $3 billion acquisition in data center infrastructure, indicates a strategic diversification play in the competitive electronics manufacturing services (EMS) market. Companies like Jabil and Flex have been aggressively pursuing medical device contracts as consumer electronics margins compress. The wearable medical device segment represents particularly attractive growth, with markets projected to exceed $60 billion globally by 2025. By concentrating advanced manufacturing capabilities in Ireland, Sanmina can leverage the country’s established medtech ecosystem while potentially capturing business from European medical device companies looking to reshore or nearshore production amid ongoing supply chain uncertainties.
Broader Implications for Ireland’s Tech Economy
The 150 skilled positions being created in Fermoy represent more than just numbers—they’re part of a broader trend of high-value manufacturing returning to developed markets. Ireland has successfully positioned itself as a bridge between US technology and European markets, with companies like Sanmina, Boston Scientific, and Medtronic maintaining significant manufacturing operations there. This expansion reinforces the Southwest Region’s status as a technology manufacturing corridor, potentially attracting ancillary businesses and supporting local educational institutions developing relevant technical talent. The timing is particularly noteworthy as European governments increasingly prioritize regional economic development and supply chain resilience in critical sectors like healthcare.
Strategic Outlook and Market Positioning
Looking forward, Sanmina’s Cork expansion positions the company to capitalize on two converging trends: the rapid growth of connected medical devices and the reshoring of critical manufacturing capacity. The wearable medical device market alone is expected to grow at a CAGR of over 25% through 2027, driven by remote patient monitoring and digital health adoption. By establishing advanced automation capabilities in a stable, business-friendly EU jurisdiction, Sanmina creates a compelling value proposition for medical device innovators who want to scale production without sacrificing quality control. This move likely signals similar expansions from competitors as the $400 billion global medtech industry continues its digital transformation.
