Samsung suppliers expand in Texas as Taylor plant nears operation

Seoul [South Korea], November 10 : Samsung Electronics Co.'s key suppliers are rapidly moving to Taylor, Texas, as the South Korean technology company's new semiconductor foundry nears its launch next year, as per a report by Pulse, the English service of Maeil Business News Korea.

Citing industry sources, the report states that several of Samsung's materials, components, and equipment partners, including Dongjin Semichem Co., Soulbrain Co., Fine Semitech Corp., and Hanyang ENG Co., are establishing production facilities and hiring workers in Texas to align with Samsung's expansion plans.

"Soulbrain is investing about 800 billion won (USD 549 million) in a semiconductor precision-chemical materials plant. Dongjin Semichem, which invested approximately 100 billion won in its initial production base, plans to allocate an additional 160 billion won to expand its capacity.

Hanyang ENG, a facilities and piping specialist, has set up a North American headquarters in Texas as it prepares to support Samsung's foundry operations," the report said.

Adding to the growing industrial activity, iMarketAmerica, a wholly owned subsidiary of iMarketKorea Inc., will hold a groundbreaking ceremony on November 17 in Taylor for the Gradient Technology Park industrial complex.

The site will cover around 860,000 square meters, with development planned in three stages: completion of phase one in 2027, phase two in 2029, and phase three in 2031. Over 100 participants from Korea, Texas, and related companies are expected to attend the event.

Samsung's large-scale move has triggered a wave of related investments from its suppliers, effectively rebuilding the company's value chain in the United States.

"Samsung named Taylor its next-generation foundry hub in late 2021 and announced a USD 17 billion investment. The company plans to invest more than USD 37 billion by 2030 to build a U.S. semiconductor production base. Suppliers have since begun establishing semiconductor materials, components and equipment plants or setting up US headquarters, effectively relocating a Korean-style semiconductor supply chain," Pulse reported.

The development also aligns with the US government's policy to boost local semiconductor manufacturing under the Creating Helpful Incentives to Produce Semiconductors and Science (CHIPS) Act. The initiative encourages building domestic capability across all parts of the semiconductor ecosystem, from materials to advanced equipment.

An industry official cited by Pulse said, "Samsung's partners expanding into Texas represents more than factory construction and signals the start of building a full semiconductor ecosystem in the U.S."

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