The city of Taylor, Texas, is set to offer Samsung Electronics significant property tax incentives if it is selected to host a new chip factory. Taylor is one of two cities in the state that the South Korean giant is considering as a possible construction site for a $ 17 billion venture. The second is Austin. Samsung is also considering potential sites in Arizona and New York.
A draft document posted on the city’s website says Samsung will be “forgiven” for 92.5% of property taxes for the first ten years, 90% for the second decade, and 85% for the third decade. Other perks include a ten-year exemption from the payment of 92.5% tax on new properties built on the same site and reimbursement of the costs of the site development expertise.
The Taylor site is located approximately 40 km from Austin. Its area is about 4.81 km2much larger than Austin’s area. Last year Samsung acquired about 1 km2 in Austin, in addition to the 1.4 km2, which houses the only Samsung chip manufacturing plant in the United States.
If Samsung chooses Taylor, construction is slated to begin in the first quarter of next year, and the company could begin production in late 2024.