GlobalFoundries Selected to Run Two New York Fabs in U.S.-Japan Deal
GlobalFoundries will operate and provide technology for two new semiconductor fabs at its Malta, New York site under a U.S.-Japan initiative worth up to $21 billion. Japan will fund the investment, while GlobalFoundries contributes manufacturing know-how and specialized process technologies. The first fab is expected to begin production in 2029 and add about 900,000 300mm wafers of annual capacity.
GlobalFoundries will serve as operator and technology supplier for two planned fabs at its Malta, New York campus. Japan is financing the effort, which could reach $21 billion, while GF supplies specialized processes and operational experience.
The first facility, backed by roughly $10 billion, is slated to start production in 2029 and add about 900,000 300mm wafers yearly. A second, similarly sized fab would require another $10 billion. The project may generate around 27,000 construction and ecosystem roles plus over 1,000 advanced production positions. GF also revised its existing federal semiconductor award, shifting $955 million toward photonics, SiGe, and packaging.
The expansion could affect upstate New York workers, construction firms, suppliers, and technical graduates through new jobs and demand for skills. It may also influence availability of chips used in vehicles, factories, and communications infrastructure, potentially easing some supply constraints over time. Broader effects could include regional economic growth and greater domestic manufacturing capacity, though outcomes depend on construction timelines, hiring, and market conditions.