Samsung Electronics today welcomed US Commerce Secretary Gina Raimondo to its new semiconductor manufacturing facility in Taylor, Texas, for an event to announce up to $6.4 billion in direct funding to Samsung as part of the CHIPS and Science Act.
Samsung Semiconductor CEO Kye Hyun Kyung and Secretary Raimondo held a celebration to mark the investment, which will allow Samsung to further expand in Central Texas and create new manufacturing capacity and core chip capabilities for the automotive, consumer technology, IoT, aerospace industry and other vital industries.
“We are not just expanding production facilities; we are strengthening the domestic semiconductor ecosystem and positioning the US as a global destination for semiconductor manufacturing.” said Küng. “To meet the expected increase in demand from US customers for future products such as AI chips, our factories will be equipped with cutting-edge process technologies and help ensure security in the US semiconductor supply chain.”
Samsung has been an economic engine in Texas for nearly 30 years. Since 1996, Samsung Semiconductor has invested $18 billion in operating two factories at its campus in Austin, Texas—making it one of the largest foreign direct investments in United States history. In 2021, Samsung announced a minimum $17 billion expansion in Taylor to build a new semiconductor manufacturing facility. With the addition of investments through the CHIPS and Science Act, Samsung is expected to invest more than $40 billion in the region in the coming years as one of the largest foreign direct investments for a greenfield project in United States history, transforming the small community of Taylor, Texas , in an expansive center of leading US semiconductor manufacturing.
Kye Hyun Kyung’s full notes, as prepared for delivery, are below.
Thank you. It is truly an honor to speak here at our new campus in Taylor, Texas. We have gathered here today with one mission: to create a new large-scale cluster for America’s leading semiconductor manufacturing.
As a leader in the global semiconductor industry, Samsung has been a continuous innovator in semiconductor technology for the past 50 years. And along that journey, we’ve been proud to be an integral part of Central Texas since 1996, when we first began manufacturing chips in the United States.
Samsung is proud to have been in the United States for over 47 years and has called Texas home for the past 28 years. Today we celebrate a new chapter in our journey.
This project is incredibly important as we are not just expanding production capacity; we are strengthening the domestic semiconductor ecosystem and positioning the US as a global destination for semiconductor manufacturing. From 2022 to 2023, Samsung Austin Semiconductor’s economic impact on the region nearly doubled from $13.6 billion to $26.8 billion. Our continued expansion will undoubtedly unleash additional investment and continued economic growth and job creation – providing significant benefit to the local, state and national economy.
Samsung will lead the way for US-made chips from design to completion, and we will do this through partnerships with our customers and suppliers across the country.
To meet the expected increase in demand from US customers for future products such as AI chips, our factories will be equipped for cutting-edge process technologies and help ensure security in the US semiconductor supply chain.
Our plan is not only to invest in chips, but it is an investment in our community. We are here to stay. To do this, we understand that we must continue to strive for a sustainable future.
We’re not only investing in our facilities, we’re also investing in our future, which is the pipeline of semiconductor talent. We partner with elementary schools, high schools and colleges to create the next generation of semiconductor innovators, as well as programs that train military veterans so we can ensure we have the best people running our factories.
We plan to boost the local economy by creating quality jobs, including 17,000 construction jobs, and drive a workforce development program for semiconductor talent.
Samsung is committed to using 100% clean energy in our facilities, as well as sustainable water management technologies. We will increase the rate of water recycling in semiconductor manufacturing and treat waste water.
Our shared goal of strengthening the semiconductor ecosystem to contribute to economic and national security cannot be achieved without mutual efforts. Samsung has gotten this far with the support of the US federal government and the state of Texas, as well as local governments and communities.
