SK Hynix and Intel explore US memory chip manufacturing partnership
South Korean chipmaker SK Hynix is discussing with Intel the possibility of producing RAM chips in the United States, potentially at Intel's planned Ohio facility or through a joint venture. The company confirmed it is exploring options but has not finalized any agreements. This would mark SK Hynix's first US memory chip production, amid efforts to expand domestic semiconductor manufacturing.
SK Hynix's existing US footprint includes a $3.8 billion Indiana facility for AI chip packaging, with mass production slated for 2029, processing DRAM wafers from South Korea. The company also listed American depository receipts on the Nasdaq in July, deepening US investor ties. Chairman Chey Tae-won has publicly endorsed building US factories if feasible.
The proposed Ohio collaboration builds on a prior deal: Intel sold its NAND flash business to SK Hynix for $9 billion in 2020. However, any agreement faces potential hurdles. Seoul's regulations on transferring strategically important chip technology could trigger a government review. The Trump administration's January statements on semiconductor tariffs and domestic investment incentives also provide a policy backdrop.
If realized, this partnership could reshape US memory chip supply chains, potentially reducing dependence on Asian fabrication for critical AI and data center components. American workers and local economies in Ohio and Indiana may see new manufacturing jobs, while consumers could benefit from more resilient supply. However, it may also raise geopolitical tensions with South Korea over technology transfer, and any tariff incentives could affect global pricing dynamics for electronics.