SK hynix Inc. announced today it has signed a non-binding preliminary memorandum of terms with the U.S. Department of Commerce to receive up to $450 million in proposed direct funding and access to proposed loans of $500 million as part of the CHIPS and Science Act for its investment to build a production base for semiconductor packaging in Indiana. Separately, SK hynix plans to seek from the U.S. Department of the Treasury a tax benefit equivalent of up to 25% of the qualified capital expenditures through the Investment Tax Credit program.
SK hynix said it deeply appreciates the U.S. government’s support and will comply with the requirements for the remaining procedures until the proposed funding is finalized. The company also said that it will proceed with the construction of the Indiana production base as planned to meet the plan to provide AI memory products. Through this, it looks forward to contributing to build a more resilient supply chain of the global semiconductor industry.