Amkor Technology will build its new U.S. advanced packaging and test facility on a 104-acre site within the Peoria Innovation Core in north Peoria, Arizona. The company revised its plans after reaching a land swap and development agreement with the Peoria City Council, exchanging a previously designated 56-acre site in the Five North at Vistancia community. Construction is scheduled to begin immediately, with the first production expected in early 2028.
The $2 billion project will create 2,000 new jobs and deepen Arizona’s role in the U.S. semiconductor ecosystem. Amkor has maintained operations in Greater Phoenix since 1984 and plays a key role in outsourced semiconductor assembly and test (OSAT). The new site positions Amkor to provide large-scale advanced packaging for customers including TSMC and other major semiconductor firms serving computing, communications, and automotive industries.
Amkor operates globally with manufacturing facilities in South Korea, Japan, China, Taiwan, Malaysia, Portugal, and the Philippines, in addition to its Arizona presence. The company also maintains corporate headquarters in Tempe, Arizona. This new facility reinforces Amkor’s standing as the largest U.S.-headquartered OSAT provider and expands its geographic balance at a time when advanced packaging capacity is increasingly recognized as a strategic element of national semiconductor supply chains.
- New facility located on 104-acre site in Peoria Innovation Core, Arizona
- $2 billion investment expected to generate 2,000 new jobs
- Construction starts in 2025, with production slated for early 2028
- Land swap agreement secured with Peoria City Council
- Facility will complement Amkor’s existing Arizona operations and global footprint (South Korea, Japan, China, Taiwan, Malaysia, Portugal, Philippines)
“As the largest advanced packaging company in the U.S., Amkor is proud to invest in U.S. semiconductor manufacturing and strengthen the U.S. semiconductor supply chain,” said Giel Rutten, Amkor’s president and chief executive officer.
🌐 Analysis: Amkor’s decision to expand in Arizona highlights how advanced packaging has become a critical bottleneck in the semiconductor supply chain. With TSMC’s fabs under construction in Phoenix and Intel’s expansion in Chandler, Amkor’s investment ensures U.S.-based capacity for outsourced assembly and test—functions historically concentrated in Asia. Competitors such as ASE, JCET, and Powertech remain largely Asia-based, giving Amkor an advantage in supporting “made in America” initiatives and the CHIPS Act mandate for domestic resiliency.
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