The government announced plans to build a semiconductor plant in Malta, New York, as the third round of investment in the United States. The total project value is approximately ¥1.6 trillion, with construction targeted to begin during 2026 and operations expected to start in 2029.
The government announced that Japan and the United States had agreed to build a semiconductor plant in Malta, New York, as the third project under the third round of investment in the United States. The facility will be operated by GlobalFoundries, a major U.S. semiconductor contract manufacturer, with Japanese semiconductor equipment manufacturers and semiconductor materials companies participating.
The total project value is approximately $10 billion (approximately ¥1.6 trillion), with potential to expand to approximately $21 billion under an agreement between the two governments. The Japan Bank for International Cooperation and Japan's three megabank groups are expected to provide the financing, although participation by foreign banks and the specific investment and lending allocations are still being coordinated.
The semiconductor plant will be newly built at GlobalFoundries' site, with construction targeted to begin during 2026 and operations to start in 2029. Japanese companies including Tokyo Electron are expected to participate as equipment and materials suppliers, while Renesas Electronics has indicated an intention to purchase the semiconductors produced.
The products are referred to as mature semiconductors and are expected to be used widely in automobiles, smartphones and data centers, among other applications. Minister of Economy, Trade and Industry Akazawa expressed the view that the project would provide significant benefits to Japanese companies, including the opportunity to supply equipment.