Japan to Invest $21 Billion in GlobalFoundries Chip Plants in US
Japan plans to invest approximately $21 billion in up to two new semiconductor plants in New York. The facilities will be operated by US-based GlobalFoundries.
Japan will invest approximately $21 billion (3.2 trillion yen) in as many as two new semiconductor plants to be located in New York. The facilities will be operated by US manufacturer GlobalFoundries, with joint ownership by the US government and Japanese interests. Construction of the first plant is scheduled to begin in 2026, with production expected to commence in 2029.
The investment is part of a broader $550 billion investment agreement between the US and Japan, aimed at strengthening economic and strategic ties, particularly in critical technology supply chains such as semiconductors.
According to GlobalFoundries CEO Tim Breen, the US government's stake in the company will increase from 3% to 7%. All capital investment for the project will be provided by Japan. Initial customers for the new plants are expected to include Japanese chipmaker Renesas Electronics and technology giant Apple.
The new facilities will fall under the US CHIPS program, which supports domestic semiconductor manufacturing and competitiveness. GlobalFoundries has previously secured funding awards under the CHIPS and Science Act. The partnership between Renesas and GlobalFoundries was further strengthened in February 2026 through an expanded collaboration to accelerate US semiconductor manufacturing.