Samsung Electronics has previously announced a halt in the construction of the second phase of its Pyeongtaek P4 factory. Recent reports indicate that the construction of the second and fourth phase production lines at the P4 facility, along with the P5 plant, have been delayed until 2026. The South Korean tech giant is now focusing on the construction of a wafer fabrication plant in Taylor, Texas.

The financial review for the P5 factory, which was expected to take place by the end of July 2024, did not materialize, leading to the postponement of both the P5 and P4 factory expansion plans. However, the first phase of the P4 factory, which produces NAND Flash, is expected to commence production soon, with the third phase currently under construction and set to install power and other equipment after the Mid-Autumn Festival.

Originally, Samsung planned to build a storage production line (Phase I) followed by a wafer foundry line (Phase II) at the P4 factory. Subsequent plans included an additional storage production line (Phase III) and another wafer foundry line (Phase IV) to complete the P4 factory. However, due to difficulties in securing wafer foundry customers, the company has adjusted its plans to prioritize storage production lines.

Insiders have revealed that the product lineup for the P4 Phase II production line is expected to be determined between January and February 2025, although no specific timeline has been confirmed. There are currently no plans for Phase IV. While some reports suggest that construction of the P5 factory might resume in January or February 2025, it is more likely to be delayed until 2026.

The decision on whether the various production lines under construction will produce DRAM, NAND, or focus on wafer foundry services has garnered attention. Some analysts believe that Samsung is deliberately delaying the decision on what products to manufacture to allow the company to operate flexibly according to market conditions. This approach may help mitigate semiconductor market fluctuations and enhance profitability.

Industry insiders have noted that while Samsung adjusts the pace of construction at its Pyeongtaek campus, it is focusing on building the Taylor, Texas facility. The Taylor factory, which began construction in the first half of 2022, is expected to commence operations in 2026. The investment for this project is approximately $17 billion. In April 2024, Samsung signed an agreement with the U.S. Department of Commerce to receive a $6.4 billion subsidy under the CHIPS Act.