The city of Taylor, Texas – one of two sites in the US state that Samsung Electronics is considering for a $17 billion chip factory – plans to offer broad property tax exemptions if chosen by the giant South Korean technology.
Taylor is competing with Austin to build the plant, which is expected to create about 1,800 new jobs. Samsung also said it is looking at other potential areas in Arizona and New York.
Other potential locations have yet to disclose planned tax incentives.
A proposed resolution posted on the city’s website shows that for the land that Samsung will use, a subsidy equal to 92.5% of property tax levied for 10 years, 90% for the next 10 years and 85% for 10 years will be offered. after that.
Other measures include a 92.5% tax exemption on new properties built on site for 10 years and reimbursement of development review costs.
The proposed resolution will be considered on Wednesday by Taylor City Council and Williamson County Commissioners.
The Taylor area is located about 40 miles from Austin. It is about 4.81 square miles in size, much larger than the Austin location. Samsung bought more than 250 acres in Austin last year, in addition to the 350 acres it owns, including its only chip factory in the United States.
If Samsung decides on Taylor, it plans to begin construction in the first quarter of next year with production slated to begin in late 2024, a document previously filed with Texas state officials said.