Samsung will build a $17 billion chip plant in Taylor, Texas

After the Wall Street Journal reported that the location of a new $17 billion chip plant in the United States would be Taylor, Texas, South Korean tech giant Samsung Electronics said on Tuesday that it had not made a final decision.

According to the Wall Street Journal, Texas Governor Greg Abbott will make a "economic announcement" on Tuesday at 5 p.m. (4:30am).

According to Reuters, a site in Williamson County, Texas, near the city of Taylor, offered the best incentives package of the sites Samsung was considering. The world's largest memory chipmaker has said it is also considering Arizona and New York as potential locations.

The new plant will produce advanced logic chips for mobile devices and autonomous vehicles, addressing a significant semiconductor shortage in the global auto industry.

The factory would be Samsung's second in Texas, where it already has a chip manufacturing plant in Austin.

Samsung has joined rivals TSMC and Intel in the race to expand chip contract manufacturing in the US, where the sector is seen as a strategic rival to China. President Joe Biden's administration has pledged billions of dollars in federal funding to boost chip manufacturing and research in order to maintain a technological advantage over China and address critical industry shortages such as autos.