HomeTechnologyMicron Applies for Tax Breaks for $160 Billion Semiconductor Plant in Texas

Micron Applies for Tax Breaks for $160 Billion Semiconductor Plant in Texas

Semiconductor manufacturing company Micron is planning a big project in Austin, Texas, that could help the United States deal with chip shortage in the future. At least, that is what their recent property-tax breaks application indicates.

Bloomberg reported earlier this week that Micron is looking for tax breaks for the construction of a new semiconductor production facility in a place called Lockhart, which is located some 30 miles from Austin. According to the application, the project is worth $160 billion, and the starting date is early 2023. The plant would be constructed in eight stages, with the completion date not being set.

However, just because Micron filed the application, it doesn’t mean the project will come to life. As Bloomberg points out, the states’ tax-break program expires at the end of 2022, and Micron wants to keep its options open.

“We have not made any final decisions regarding the location, timing, or scope of any expansion,” Micron spokeswoman Moira Whalen told Bloomberg in an email response. “Filing these applications now allows us to preserve options for potential future expansion needed to meet long-term memory demand.”

The news comes just weeks after Micron promised to make a $40 billion investment until 2030 in order to make semiconductors in the US. This figure will be supplemented with credits from CHIPS and Science Act programs.

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