Amkor Technology expands plans for $7B semiconductor packaging plant in Peoria

Sandra Watson President and CEO, Arizona Commerce Authority
Sandra Watson President and CEO, Arizona Commerce Authority - Official Website
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Amkor Technology, Inc. has begun construction on a new advanced semiconductor packaging and test campus in Peoria, Arizona. The company announced that it will expand its planned investment to $7 billion across two phases, with the additional funds supporting extra cleanroom space and a second facility.

The new campus is expected to provide over 750,000 square feet of cleanroom space and create up to 3,000 jobs once both phases are complete. Construction of the first manufacturing facility is scheduled for completion by mid-2027, with production starting in early 2028. Amkor’s facilities will support major customers such as Apple and NVIDIA and are positioned as key elements in America’s advanced packaging capabilities.

Governor Katie Hobbs stated, “Arizona stands at the forefront of America’s semiconductor industry and Amkor is a vital part of that leadership. Amkor’s new facility represents a transformative investment that will create thousands of good-paying jobs, help build a more resilient supply chain, and solidify Arizona’s semiconductor leadership.”

Amkor’s expanded project receives backing from federal initiatives like the CHIPS for America Program, the Advanced Manufacturing Investment Tax Credit, as well as state and local government support.

Giel Rutten, president and CEO of Amkor, said: “This groundbreaking represents a bold step in Amkor’s long-term strategy for growth and innovation. We’re building a facility to meet our customers’ most advanced needs that will help shape the future of semiconductor manufacturing in the United States. Arizona offers the right mix of talent, infrastructure, and industry presence, and we’re proud to deepen our roots here.”

Located within Arizona’s high-tech corridor, the campus will incorporate smart factory technologies designed for sectors including artificial intelligence (AI), high performance computing, mobile communications, and automotive applications. The facilities aim to complement TSMC’s wafer fabrication plants nearby for full end-to-end chip manufacturing.

U.S. Senator Mark Kelly commented: “Peoria will be the first place in the country where millions of leading-edge microchips are packaged and tested… I’m proud to have worked closely for years with Arizona’s economic development leaders, including Mayor Beck, Governor Hobbs, Sandra Watson, and our teams from the Greater Phoenix Economic Council and Arizona Commerce Authority to make today’s announcement possible.”

Senator Ruben Gallego added: “Today’s groundbreaking is a major win for Arizona’s high-tech manufacturing future. This project will bring high-wage jobs… Smart industrial policy like the CHIPS program is how we bring jobs back to the U.S. from overseas…”

Sandra Watson, President & CEO of the Arizona Commerce Authority said: “Today marks a significant milestone for Amkor’s legacy in Arizona. Once complete, this cutting-edge advanced packaging facility will serve a critical role as the largest and most advanced outsourced packaging facility in North America.”

Danny Seiden from the Arizona Chamber of Commerce & Industry noted: “Amkor’s decision to expand in Arizona underscores our state’s role as a global hub for advanced manufacturing…”

Mayor Jason Beck highlighted: “Through Peoria’s strong partnership with Amkor we have been able to display all that is possible when private and public industry come together…”

Jensen Huang from NVIDIA stated: “AI has ignited a new industrial revolution — and with it, the chance to reindustrialize America…”

Sabih Khan at Apple said: “At Apple we’re excited to help lead creation of an end-to-end silicon supply chain in America… Factories across the United States are producing 19 billion chips for Apple this year alone…”

Jun He at TSMC remarked: “This new Amkor facility groundbreaking represents a testament to what is possible when industry leaders share a common vision…”

John Neuffer from Semiconductor Industry Association commented: “Today’s Amkor groundbreaking represents a significant milestone in expanding U.S. capacity for advanced semiconductor packaging…”

Joe Stockunas at SEMI Americas added: “SEMI applauds Amkor’s Arizona investment…”

Arizona has recently set records in job creation related to economic development efforts by organizations such as the Arizona Commerce Authority. In Fiscal Year 2022 alone they worked with companies creating projections exceeding 24,000 new jobs statewide while drawing billions in community investment—well above initial targets.

Amkor Technology describes itself as one of world’s largest providers headquartered in U.S., delivering solutions enabling technological advances across multiple industries.

The Arizona Commerce Authority serves as state’s main economic development body aiming to attract companies like Amkor while fostering business expansion throughout targeted industries.



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