Samsung is set to build a new $17 billion computer chip factory in Taylor, Texas, The Wall Street Journal reported.
An official announcement could come as early as Tuesday, people familiar with the matter told the Journal, and comes as the Biden administration makes a push for expanding semiconductor production in the U.S.
Spokespeople for Samsung and Texas Gov. Greg AbbottGreg AbbottHillicon Valley —TSA to strengthen rail sector cybersecurity When politics trump workers' health, we know who gets burned Judge blocks Texas social media censorship law MORE (R), who is scheduled to make an economic announcement later Tuesday, did not immediately respond to requests for comment.
A spokesperson for Samsung told the Journal that a “final decision has not yet been made regarding the location.”
Based on documents previously filed with state authorities, the South Korean company aims to create about 1,800 jobs, but chip production is not expected to start until the end of 2024.
Officials in Taylor, a town of around 16,000 people located about 30 miles northeast of Austin, offered Samsung incentives that include the equivalent of property tax breaks of up to 92.5 percent in the first 10 years, the Journal reported.
The Biden administration's push to bolster semiconductor production in the U.S. comes as the nation has fallen behind in manufacturing. The U.S. made up just 12 percent of worldwide production capacity in 2020, a decline from 37 percent in 1990, according to the Semiconductor Industry Association.