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Samsung delays investment in Pyeongtaek memory chip factory

SemiMediaEdit
July 25, 2019

Affected by factors such as the semiconductor market downturn, China-US trade frictions, and Japanese export restrictions, Samsung Electronics began to adjust its investment plan to delay equipment investment in the Pyeongtaek P2 memory chip factory to next year.

Samsung Electronics started construction of the P2 factory early last year, with the goal of surpassing the world's largest Pyeongtaek P1 factory. Recently, according to relevant persons in the semiconductor equipment industry, due to the deterioration of the memory industry, orders for P2 equipment scheduled for the second half of the year have been postponed until early next year. Other related parties also confirmed that Samsung Electronics plans to postpone orders for P2 equipment until the first quarter of next year. Currently, only the equipment for maintenance in the order is maintained.

The industry once expected that Samsung Electronics will complete the P2 plant in the first half of 2019, and will start to order related equipment in the second half of the year. However, due to the delay in the recovery of the semiconductor market, Samsung Electronics began to adjust the investment plan and decided to delay investment.

However, it is reported that Japan may expand its export restrictions to South Korea in the near future, so although Samsung Electronics’ investment is postponed until the first quarter of next year, it may actually be later than the first quarter.

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electronic components news Pyeongtaek P2 Samsung Electronics
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