SK Hynix to Get Subsidies and Loans for US Advanced Packaging Plant

TapTechNews August 6th news, SK Hynix and the US Department of Commerce have signed a non-binding preliminary memorandum. SK Hynix's advanced packaging plant in the US will receive up to 450 million US dollars (TapTechNews note: currently about 3.211 billion Chinese yuan) in direct subsidies and 500 million US dollars (currently about 3.568 billion Chinese yuan) in loans.

SK Hynix also plans to apply for an investment tax credit equivalent to 25% of qualifying capital expenditures.

SK Hynix announced on April 4th this year that it will invest 3.87 billion US dollars (currently about 27.619 billion Chinese yuan) in West Lafayette, Indiana to build an advanced packaging production base for memory suitable for AI, and at the same time conduct semiconductor research and development cooperation with local research institutions such as Purdue University.

The West Lafayette production base of SK Hynix will have a next-generation HBM memory packaging production line, which is expected to start mass production in the second half of 2028.

SK Hynix CEO Kwak Noh-jung said:

We are very grateful for the support of the US Department of Commerce and are very pleased to be able to cooperate to witness the full realization of this transformational project.

We are promoting the construction of the Indiana production base, cooperating with the Indiana government, Purdue University and our US business partners, and finally providing leading AI memory products from West Lafayette.

We look forward to establishing a new AI technology center, creating skilled jobs in Indiana, and helping the global semiconductor industry build a stronger and more resilient supply chain.