GlobalFoundries to operate two New York chip factories with up to $21 billion from Japan

Japan would finance two new chip factories at GlobalFoundries’ Malta, New York, site under an initiative providing up to $21 billion. GlobalFoundries said on October 14, 2026, that it had been selected to supply the technology and operate both facilities. The first is expected online in 2029, targeting automotive, industrial and connected-infrastructure demand.

Japan supplies capital; GlobalFoundries runs the factories

The arrangement divides financing from manufacturing responsibility. Japan will provide the investment, according to GlobalFoundries. The chipmaker will contribute its technologies, manufacturing expertise and operating capabilities, rather than serving only as the site for the investment.

GlobalFoundries said President Donald Trump’s trade and investment agreement with Japan enabled the initiative. Its stated goals are to accelerate U.S. semiconductor manufacturing and strengthen critical supply chains. The Associated Press also reported the two-factory plan and Japan-backed financing, citing the company.

The construction plan has two stages. An initial investment of approximately $10 billion will accelerate construction of the first 300mm semiconductor factory, the company said. An additional investment of approximately $10 billion would fund the second. GlobalFoundries describes the overall initiative as providing up to $21 billion, while using approximate figures for each factory.

A permitted site, with construction still ahead

GlobalFoundries expects to break ground on the first factory later in 2026. It says the Malta site is permitted and shovel-ready, and that existing infrastructure will help speed construction. Details of a groundbreaking event will be announced separately. The 2029 date is the company’s expected start of operations for the first factory.

The project is expected to create about 27,000 construction and ecosystem jobs, plus more than 1,000 highly skilled manufacturing jobs in New York’s Capital Region. Those are different categories: the larger estimate covers construction and the surrounding ecosystem, rather than factory manufacturing positions alone.

Grant McEwan, general manager of GlobalFoundries’ Fab 8 in Malta, said the company is working with education and workforce partners to develop semiconductor talent. New York Governor Kathy Hochul welcomed the investment and said the state looked forward to working with Japan and its semiconductor supply-chain ecosystem.

Customers describe where the capacity would fit

The company’s announcement includes customer and equipment-partner statements explaining how the proposed factories would fit into their plans. These describe intended uses and support for future capacity, rather than production already available from the new facilities.

• Renesas CEO Hidetoshi Shibata said his company is planning around the new capacity as an extension of its own production footprint. He linked the collaboration to stable, long-term semiconductor supply as demand grows for electrification, connectivity, AI and data-center applications.
• Cirrus Logic CEO John Forsyth said the factories would give his company access to domestic manufacturing for next-generation mixed-signal products and support the secure supply chains its customers rely on.
• Tokyo Electron CEO Tony Kawai said the equipment supplier was pleased to contribute to expanded U.S. semiconductor production. He also emphasized talent development and strong local communities as requirements for sustained industry growth.

The funding, construction schedule and capacity figures remain forward-looking. GlobalFoundries cautioned that delayed or withheld funding could prevent planned expansions from proceeding as expected. Its announcement also identifies trade tensions, tariffs, policy changes and weaker-than-expected markets as risks to its plans.