GlobalFoundries will operate two new semiconductor plants in Malta, New York. Japan will provide up to $21 billion in funding for the initiative, part of a broader U.S.-Japan trade and investment agreement to strengthen domestic semiconductor supply chains for automotive, industrial and infrastructure markets.
The project will proceed in two phases. The first factory is expected to require an investment of approximately $10 billion. It is expected to begin operations in 2029.
In a separate but related agreement, the U.S. Department of Commerce will receive an equity stake of about 4% in GlobalFoundries. This will bring the department’s total ownership to around 7%.
Initial customers for the new facilities are expected to include Apple and Japan’s Renesas Electronics.