The Biden administration has approved a $6.4 billion grant to be given to Samsung in order for them to build and open a new semiconductor chip manufacturing plant in Texas. This comes after the Biden administration has been working to invest in and improve the U.S. manufacturing sector. In addition to the $6.4 billion, Samsung is expected to invest approximately $40 billion into the project of building new plants. With the entire financial plan, the company is set to build new and/or expand on existing plants. The plan is to build a new plant in Taylor, Texas and expand upon one that they already have in Austin. The plants focus on microchips that can be used in a variety of things, such as in robotics or to construct medical devices.

The investment from the U.S. government in this project comes after President Biden visited the company’s office in South Korea in 2022.

The expansion of the company’s presence in Texas is meant to, ideally, serve a few different purposes. The new plant will have specific facilities that are dedicated to research and development. Additionally, to simplify the production, they will now be able to package the chips themselves as well. Currently, all chips that are manufactured in the United States have to be sent to Taiwan to be packaged. After the new plant is built and the existing one is expanded upon, there will be the ability to package in the United States.

The Biden administration is also eager about these plants due to the additional jobs that should hit the job market, both in the construction process and in the actual functioning, manufacturing process. According to estimations, the U.S. is expecting around 17,000 new construction jobs to build the plant. They also expect around 4,500 jobs for the manufacturing side once it is up and running.

The new plant is said to have construction plans that show the building to be around 11 football fields.

Based on the logistics of the project, the plants are not expected to be open and functional for another decade approximately. Nonetheless, the team from both Samsung and the Biden administration are eager to see how this will aid in the U.S. economy and the technology industry as a whole.