Samsung Approved To Build $17B Chip Plant In Taylor

Round Rock TX

23 November, 2021

6:51 PM

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WILLIAMSON COUNTY, TX — Samsung earned the stamp of approval to build its $17 billion semiconductor manufacturing plant in Taylor by Gov. Greg Abbott on Tuesday. Samsung's decision comes during a major shortage of semiconductors, which are critical to products as diverse as Ford F-150s, medical devices and iPhones. The new manufacturing facility will produce advanced logic chips that will power next-generation devices for applications such as mobile, 5G, high-performance computing, and artificial intelligence, state officials said Tuesday. Samsung will build a new $17 billion semiconductor manufacturing facility in Taylor — the largest foreign direct investment in Texas on record! More details: https://t.co/xA0em8kQND pic.twitter.com/TLv2XBqaHG— Gov. Greg Abbott (@GovAbbott) November 23, 2021 Live in Round Rock? Click here to subscribe to our free breaking news alerts delivered to your inbox and mobile devices. Follow us on Facebook and Twitter, and download our free mobile app on Android or iPhone. The project will create over 2,000 high-tech jobs, thousands of indirect jobs, and a minimum of 6,500 construction jobs. Construction will begin in early 2022 with a target of production start in the second half of 2024. The $17 billion in capital investments includes buildings, property improvements, machinery, and equipment. "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," Gov. Abbott said. "I look forward to expanding our partnership to keep the Lone Star State a leader in advanced technology and a dynamic economic powerhouse." Dr. Kinam Kim, Vice Chairman and CEO of Samsung Electronics Device Solutions Division, said Samsung is laying the "groundwork for another important chapter in our future." "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," Kim said. "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 United States." Samsung says it will build $17B chip factory in Texas: The logo of Samsung Electronics is seen outside the Samsung Electronics Seocho building in Seoul, South Korea, on Oct. 25, 2020. Samsung Electronics on Thursday, Oct. 28, 2021 reported its highest quarterly profit in three years as it continues to see robust global demand for its computer memory chips. AP Photo/Lee Jin-man The company's decision came after months of deliberation over possible locations in the United States and South Korea. The company, one of the world's largest makers of computer chips, considered a site in Austin, which is about forty minutes from Taylor, as well as locations in Arizona and New York. Officials from the city of Taylor, Taylor ISD and Williamson County have worked to bring the semiconductor manufacturer to Taylor since January 2021. Williamson County Judge Bill Gravell said Tuesday the county has proven to be a "leader in attracting the world's top technology companies." "To Samsung, I want to say 'Welcome Home,' " Gravell said. "With the addition of Samsung on the east side of our county, Apple on the west side and Dell Technologies world headquarters in the center, Williamson County is now home to the technology superhighway of the world." Taylor Mayor Brandt said Samsung's decision to locate its cutting-edge semiconductor fabrication plant in Taylor is the "single most significant and consequential development for the local economy since the International & Great Northern Railroad laid tracks in the city in the 1870's." Congratulations to the Central Texas community on the selection of Taylor, Texas for Samsung Electronics' $17 billion advanced semiconductor facility. Read more here: https://t.co/lNuaYmNwDL— Samsung Austin Semiconductor (@SamsungAustin) November 23, 2021 "The City of Taylor is honored to have been selected by Samsung as the site for this critically important project, and we look forward to a long-lasting and mutually-beneficial relationship between our community and the company," Brandt said. Back in September, Williamson County Commissioners Court approved a resolution that would allow Samsung to build a new facility in Taylor. RELATED: WilCo Approves Agreement To Bring Samsung To Taylor The Chapter 381 agreement, a performance-based agreement to provide incentives to stimulate, encourage and develop business and commercial activity in WilCo, would allow Samsung Austin Semiconductor, LLC, to build its newest semiconductor plant in Taylor. In Williamson County's agreement, Samsung must construct a minimum of six million square feet of facilities by January 31, 2026, with incremental deadlines. The company also must create 1,800 full-time jobs. If these conditions are met, the County will then grant Samsung an amount equal to 90 percent of ad valorem taxes paid by the company for the first ten years of the agreement. For the second 10 years of the term, the County will grant an amount equal to 85 percent of ad valorem taxes paid by the company. The plant will not only benefit the county but also Taylor ISD. Superintendent Devin Padavil said the district's partnership will provide them with more opportunities to transform the lives of students through learning opportunities, internships, resources and financial support. Welcome home to Williamson County and Taylor, Samsung! https://t.co/JH3s3zEApm— Williamson County (@wilcogov) November 23, 2021 "We are preparing our children to contribute and compete in a global society, and in many ways, Samsung is bringing a global society to them," Padavil said. In the County's development agreement, Williamson County agrees to specific road improvements that are necessary for safety and mobility around construction and operation of the six million square foot facility. This includes improvements to CR 401 and CR 404, as well as construction of a future county road. The Southeast Loop, which started construction on Segment 1 in July, also is mentioned in the agreement with a completion date of June 2025. In support of the project, the Texas Department of Transportation has pledged $67 million in its 10-year Unified Transportation Program for construction of Segment 3 of the Southeast Loop, which includes a grade-separated railroad crossing at FM 3349 and US 79. The plant in Taylor will be the latest to be built in America in recent years, New York Times reports. Intel broke ground this year on two new factories on an existing campus in Arizona. Taiwan Semiconductor Manufacturing Company is also building a new plant in the state.