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Samsung Electronics has announced plans to significantly expand its chip production facility in Taylor, Texas, with an increased investment of $44 billion, a decision that comes as part of the company’s efforts to meet the growing demand for semiconductor products.

Initially announced in 2021 with a budget of $17 billion, the expansion project, which aims to establish a semiconductor hub in Taylor, has seen ground already broken in 2022, with Samsung now planning to more than double its investment in the facility.

The announcement, expected to be made on April 15 in Texas, will coincide with the Taylor plant's commencement of mass production later this year. The additional funds, which will cover the construction expenses for the hub’s first chip-making plant that have increased due to inflation, as well as the costs for a second plant, are anticipated to be allocated.

It is estimated that the construction of the second chip plant, which will cost over $20 billion, will involve Samsung Electronics adding a 2.7 million-square-foot building to its Taylor project.

As Samsung looks to capitalize on the semiconductor boom and secure its position as a major player in the industry, this expansion comes at a time when the company is expected to receive a subsidy of over $6 billion from the U.S. government under the CHIPS Act program.

The CHIPS Act program, which aims to bring cutting-edge semiconductor production capabilities to the United States and reduce reliance on Chinese technology, will provide Samsung Electronics with the largest subsidy ever given to a non-American company under the program.

Editor：Lulu

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