From Fortune:

South Korean chipmaker SK Hynix Inc. is choosing Indiana over Arizona for its first major U.S. investment, a $15 billion advanced packaging facility. The Midwest win is a significant step forward for the country’s semiconductor supply chain.

The firm originally intended to select a site within the first half of 2023 and SK Hynix is currently slated to pick Indiana but still has Arizona as a second choice.

The manufacturing of chips in America is a bottleneck with only 3% of the world’s packaging capacity in the U.S. The pending decision would be a win for the state of Indiana and the region.

The U.S. has been working to revitalize the domestic semiconductor industry, with semiconductor firms pledging to invest more than $230 billion since President Joe Biden took office, spurred by the Chips Act.

Washington tries to cut off Beijing from the most advanced semiconductors and chipmaking equipment, and the two companies SK Hynix and Samsung Electronics have received U.S. waivers to continue shipping some equipment to China.



Read more: SK Hynix’s $15 billion chip plant poised to go to Indiana over Arizona