Samsung Electronics will build a new chip plant at Taylor, Texas with an investment of US$17 billion, the company said on Wednesday.
The new semiconductor line will start operations in 2024, Samsung said.
"Samsung's new semiconductor manufacturing facility in Taylor will bring countless opportunities for hardworking Central Texans and their families and will play a major role in our state's continued exceptionalism in the semiconductor industry," said Texas Governor Greg Abott.
Samsung had reportedly considered various locations to build the new plant in the US, including Taylor, Austin, Arizona and New York.
The company said it ultimately chose Taylor due to the location’s proximity to its current chip facility at Austin (just 25km away), local chip ecosystem, infrastructure, support for the local government and community support opportunities.
The South Korean tech giant said the new facility, which will be a foundry line for logic chips, will manufacture chips for 5G, high performance computing and AI applications.
“As we add a new facility in Taylor, Samsung is laying the groundwork for another important chapter in our future,” said Kinam Kim, vice chairman CEO of Samsung’s Device Solutions Division, its chip business. “With greater manufacturing capacity, we will be able to better serve the needs of our customers and contribute to the stability of the global semiconductor supply chain.”
“We are also proud to be bringing more jobs and supporting the training and talent development for local communities, as Samsung celebrates 25 years of semiconductor manufacturing in the US,” Kim added.