It is reported that Samsung Electronics will invest more than $200 billion over the next 20 years to establish a semiconductor base in the United States. The plan is to build 11 new semiconductor factories in Texas.
According to the Wall Street Journal (WSJ) and the Austin Business Journal on the 21st (local time), Samsung Electronics (005930) established nine semiconductor manufacturing plants in Taylor, Texas, and two semiconductor production plants in Austin, respectively, through a tax benefit application submitted to the state of Texas on the 21st (local time). It is reported that a plan has been proposed. This investment case came to the surface when the Texas State Inspectorate’s Office recently disclosed the documents submitted by Samsung Electronics.
Through the application, Samsung Electronics announced that it would invest $167.6 billion to build nine new factories in Taylor and $24.5 billion to add two factories in Austin, Austin local media reported. Combined, the two amount to 192.1 billion dollars, an astronomical size. Some of these will start operation around 2034, others will go into production over the next 10 years, and so on. Samsung Electronics’ plan is to create more than 10,000 jobs through this.
Samsung Electronics is currently operating two semiconductor factories in Austin, and is building a foundry factory in Taylor at $17 billion through recent investment decisions. In fact, it is read as a will to make the US the center of the semiconductor business.
Just because Samsung Electronics submitted an application does not mean that the investment has been confirmed. “At this time, we do not have specific plans to pursue the new factories listed in the application,” a company official told the WSJ. However, there are evaluations that it is a clue to Samsung Electronics’ mid- to long-term plans to use the US as a semiconductor base. A Samsung Electronics official explained, “The investment proposal in the application reflects the long-term planning process for evaluating the viability of the company’s US business expansion.”
Texas Governor Greg Abbott welcomed the announcement in a statement. “The new factories [planned by Samsung Electronics] will allow Texas to solidify its position as a leader in the semiconductor industry,” Governor Abbott said.