The South Korean technology giant, Samsung, has chosen the city of Taylor, Texas, to install a huge electronic chip factory, and it will invest $17 billion.
The plant’s location that will generate 1,800 jobs was debated among four other sites, but the extraordinary tax breaks offered along with its geography favored Taylor, according to Korea JoongAng Daily of Sept. 6.
“What I learned is that [Samsung] finally chose Taylor after taking into account investment incentives and geographic conditions,” said the source who preferred to remain anonymous.
The Taylor City Council, Williamson County Commissioners, and possibly Samsung officials are expected to meet on Sept. 8 to review the resolution for tax rebates of up to 92.5% that would be extended for 30 years for different concepts reported Reuters.
The land on which the plant will be installed covers 480 hectares, quadrupling Samsung’s existing plant in Austin, Texas.
In addition to the tax exemptions, Taylor’s mayor is committed to making several infrastructure and development improvements to support the company’s operations.
On the other hand, manufacturing these semiconductor chips or parts is considered a priority for U.S. national security.
Taiwan and the U.S. share a mutual interest in manufacturing chips, which are used in all electronic devices today.
While the U.S. specializes in chip design, Taiwan has one of the largest chip factories, TSMC, where chip testing is also performed.
In addition to Taiwan being a major U.S. trade ally, the U.S. market relies heavily on the chip production it gets from the island, a former advisor to former President Donald Trump, Steve Bannon, emphasizes.
“The major message with all of the disasters is Silicon Valley West. And if you think we don’t have a moral obligation for Taiwan leave that aside for a minute,” Bannon said.
He added: “The practical considerations. Silicon Valley West, the entire American economy centers around the chips, and in particular the advanced chips designed, made, and manufactured in Taiwan.”
He concluded, “It is something we have to hold. If we don’t hold it we don’t have an economy. The economy will implode.”
Taiwan’s significant supply of chips is another strategic factor for the United States to defend against threats of invasion by the Chinese Communist Party (CCP).
The CCP is a significant competitor in the chip market, and its acquisition of Britain’s largest microchip factory has caused worldwide concern.
According to The Telegraph, this is due to the Chinese communist regime’s increasing control over this market, which is facing a chip shortage.
Governments seem to be unaware of the real danger posed by the CCP to the West and the rest of the world.
Its long history of outrages against neighboring countries and the human rights violations in its territory would be enough to try to stop its advance immediately.