Samsung Electronics is planning to invest about 250 trillion won in the United States over the next 20 years to establish 11 semiconductor plants.
It is interpreted that Samsung is trying to make the United States a semiconductor base.
According to the Wall Street Journal (WSJ) on the 21st (local time), Samsung Electronics submitted a tax benefit application to Texas, which is known for the construction of a new factory.
Samsung Electronics reportedly proposed a plan to establish two semiconductor production plants in Texas Taylor and two semiconductor production plants in Texas. This is known that the Texas state auditor’s office recently released Samsung’s submission documents.
Samsung Electronics has built nine factories in Taylor and invests $ 167.6 billion (about 220 trillion won) and $ 24.5 billion in two Austin plants. All of them are astronomical, up to $ 192.2 billion (about 252 trillion won).
Some of them are in operation in 2034 and the rest are produced for 10 years. This is expected to create more than 10,000 employment.
Samsung’s plan to establish a semiconductor factory in the United States seems to be subject to the Texas tax reduction program, chapter 313 incentives.
Chapter 313 is an incentive system that exempts taxes on the increase in property for up to 10 years to a company that has invested facilities in Texas. This benefit disappeared later this year and received an application until last month. Samsung Electronics seems to have requested Texas for this in order to secure incentives for future investment.
In addition to Samsung Electronics, other semiconductor companies such as the NXP and the Texas Instruments (TI), in addition to Samsung Electronics, also submitted the chapter 313 application.
However, Samsung Electronics’ investment is not 100% confirmed by this application.
Samsung Electronics told the WSJ that, We do not have a specific plan to promote new factories in the application.