Amkor, a leading provider of outsourced semiconductor assembly and test services (OSAT), has announced plans to construct a state-of-the-art packaging and testing facility in Peoria. The company estimates an investment of $2 billion for the project, which is expected to create 2,000 new jobs. The chosen location for the facility is a 55-acre property near an upcoming Taiwan Semiconductor Manufacturing Co. plant in north Phoenix.
With over three decades of presence in Phoenix, Amkor’s new plant will be responsible for packaging and testing chips for Apple products. In order to support domestic semiconductor research and manufacturing within the United States, Amkor has applied for funding through the CHIPS Act – which provides $280 billion towards this cause. This includes incentives worth $39 billion to promote chip production within the country as well as tax credits on manufacturing equipment expenses up to 25%. Additionally, there is also designated funding of $13 billion allocated towards semiconductor research and workforce training.
The announcement by Amkor regarding their expansion plans highlights significant growth potential not just locally but also nationally with regards to domestic semiconductor production capabilities.
