Giant tech company and manufacturer of consumer electronics Samsung Electronics Co Ltd (KRX: 005930) is on the verge of resolving to construct a $17 billion chip manufacturing facility in Williamson County in the U.S. state of Texas.
In a filing with Texas State officials, Samsung said this plant will be manufacturing advanced logic semiconductor chips and it will provide employment opportunities to 1,800 individuals.
Sources linked to the matter revealed that the company is yet to make a final resolution on the plant’s location however, Texas still remains a front runner due to the subsidies and large properties tax breaks the state has offered Samsung if it picks the state for construction of the plant.
The sources further added that stable sources of water and electricity in Texas are also another factor making Samsung settle tor Texas.
During the first quarter a year, the company suffered a $254 million to $339 million loss due to a winter storm shutdown at its existing chip plant in Austin. The winter storm damaged its water production facility.
This development comes at a time when the world is facing a major global chip shortage. The shortage has halted many operations even at some instances, auto manufacturers have been forced to halt production of vehicles activities due to chip shortage.