Thursday, October 28

Samsung Electronics close to finalizing $17 bln Texas chip plant -sources


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SEOUL — Samsung Electronics Co Ltd is close to finalizing the construction of a second, $17 billion semiconductor factory in Williamson County in the US state of Texas, three people with knowledge of the matter said.

Samsung told Reuters that it is continuing due diligence in multiple locations, and that it has yet to make a decision.

The factory will make advanced logic semiconductor chips and is likely to create about 1,800 jobs, Samsung previously said in filings to state officials.

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One of the people said though no decision has been made, the Austin suburb of Williamson County is the frontrunner due to the subsidies on offer as well as the likelihood of stable sources of electricity and water.

A winter storm shutdown at Samsung’s existing chip plant in Austin during the first quarter caused the equivalent of 300 billion to 400 billion won ($254 million to $339 million) of damage to wafer production.

All three people declined to be identified as they were not authorized to speak with media.

($1 = 1,179.6200 won) (Reporting by Joyce Lee and Hyunjoo Jin; Editing by Muralikumar Anantharaman and Christopher Cushing)



financialpost.com