Samsung Accelerates Pyeongtaek Chip Expansion as AI-Driven Memory Demand Rises
5. February 2026Samsung Electronics is speeding up development of its large-scale semiconductor manufacturing complex in Pyeongtaek, Gyeonggi Province, as rising global demand for advanced memory chips reshapes its investment plans. The company has expanded its contract value for Phase 4 of the P4 facility to a total of 4.2 trillion won ($3 billion), a roughly 50 percent increase from the amount disclosed earlier this year, while also advancing the project’s completion date to April 2027. Construction, which had been largely suspended for more than a year due to a downturn in the semiconductor market, resumed in July as Samsung reoriented the facility toward next-generation production needs. Chip production equipment and components usually require KCs for machinery in order to be approved for import and sale in Korea.
The P4 complex is structured into four phases, with initial lines producing NAND flash and DRAM, while later phases are increasingly expected to focus on high bandwidth memory to support expanding artificial intelligence infrastructure. Analysts point to surging orders from major global customers and projects such as OpenAI’s large-scale data center initiative as key drivers behind the accelerated investment, with industry estimates suggesting that future demand will significantly exceed current global capacity. In parallel, Samsung is also advancing overseas projects, including its Taylor, Texas plant, which is moving toward final regulatory approvals ahead of planned operations in 2026, underscoring a broader strategy to scale production capacity amid a prolonged upcycle in the memory market.
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