GlobalFoundries Breaks Ground on First Fab of $21B US-Japan Plan
GlobalFoundries started construction on the first of two planned chip fabs in Malta, New York, funded under a U.S.-Japan initiative worth up to $21 billion. The first plant is due online in 2029 and should add about 900,000 wafers of annual capacity.
GlobalFoundries (Nasdaq: GFS) broke ground on November 13, 2026, on the first of two new chip fabs at its Malta, New York, site under a U.S.-Japan initiative providing up to $21 billion in funding. It is the first time GlobalFoundries breaks ground on a plant built with Japanese investment.
The company, known as GF, said construction has begun on a new 300mm fab. That refers to a factory that makes chips on 300-millimeter silicon wafers, the standard size for modern production. The first fab is expected to come online in 2029.
Money and capacity
Japan will provide the investment, while GF supplies its technology and runs the plant. An initial investment of about $10 billion, backed by $570 million in incentives from New York State, is speeding up work on the first fab. Another roughly $10 billion is earmarked for a second fab as the project advances.
When fully operational, the first fab should add about 900,000 300mm wafers of annual U.S. manufacturing capacity. The second would add about the same amount. GF said the output will serve automotive, industrial and connected infrastructure customers.
GF said it was picked as technology provider and operator for the two fabs in an October 14 announcement.
Jobs promised
The two-fab project is expected to create about 27,000 construction and ecosystem jobs. It should also bring more than 1,000 high-skilled manufacturing jobs to New York's Capital Region. GF said it is working with schools, colleges, universities and workforce groups to train future chip workers.
Officials from the U.S. and Japanese governments, state and local leaders, customers and partners joined GF executives at the ceremony. New York Gov. Kathy Hochul attended.
What officials said
"Today, we're putting shovels in the ground and turning an ambitious partnership into reality," said Tim Breen, CEO of GlobalFoundries. He called the plan a "first-of-its-kind initiative" combining the strengths of the United States, Japan and GF.
Grant McEwan, vice president and general manager of GF's Malta fab, said the investment recognizes what the site's team has accomplished. He said the next chapter will "create opportunities for thousands of people."
Hochul said the groundbreaking "marks another major step forward for our state and the Capital Region." She cited the up to $21 billion investment and the new manufacturing and construction jobs.
