SK hynix plans to invest €10.9 billion in constructing a new chip factory in South Korea.
The construction of the M15X chip factory in the city of Cheongju will begin in October. The plant is scheduled to open in 2025. SK hynix is simultaneously drawing up construction plans for a later M17X expansion at the same location.
According to SK hynix, the facility’s construction is being accelerated due to market developments. The manufacturer refers to the shortage of memory chips. Although the demand is currently on the decline, the manufacturer expects the demand to recover in 2024 and further increase in 2025. The organization claims to invest countercyclically.
Other production sites
The exact models to be produced in the new South Korean plant are unknown. The organization plans to manufacture depending on demand. SK hynix produces DRAM chips at another South-Korean plant near the port city of Inchon. NAND flash chips are produced in Cheongju and the Chinese cities of Wuxi, Chongqing and Dalian.
SK hynix is also planning a chip packaging plant in the United States.