"We expect significant price increases," Ploss told a news conference at an opening ceremony for Infineon's new power-chip plant in Villach, Austria.

Ploss added that Infineon would not sell to the highest bidder at a time when customers were willing to pay astronomical prices. "We are a reliable partner when things go up and when they go down," he told reporters.

(Reporting by Alexandra Schwarz-Goerlich, Writing by Douglas Busvine, Editing by Thomas Escritt)