SK hynix breaks ground on U.S. HBM production base... mass production of 'Made in USA' chips in 2029

[Financial News, West Lafayette = Reporter Lee Byung-chul]SK hynix has broken ground on its 'Made in USA' high-bandwidth memory (HBM) project aimed at the heart of the United States' Artificial Intelligence (AI) industry. As the United States accelerates efforts to build out its domestic AI semiconductor supply chain, SK hynix will invest more than $4 billion to establish the country's first HBM production base in Indiana. The project will link U.S. customers, Research and Development (R&D), and talent, creating a Korea-U.S. AI semiconductor supply chain in which cutting-edge wafers made in Korea are completed as HBM in the United States.
On the 27th local time, SK hynix held a groundbreaking ceremony for its advanced packaging production base for AI memory at Purdue University's Holloway Gymnasium in West Lafayette, Indiana. The event drew a wide range of Korean and U.S. political and business figures, including Indiana Governor Mike Braun, U.S. Senator Todd Young, Ambassador of South Korea to the United States Kang Kyung-wha, and Yoo Jung-jun, vice chairman in charge of the Americas at SK Group.
Governor Braun said, "Today marks the beginning of a new era of technological innovation in Indiana." He added, "This advanced packaging and R&D facility will not only be the largest development project in Indiana's history, but also the first of its kind in the United States." He also said, "Today, SK hynix and Purdue University are breaking ground for America's technological future," and emphasized, "We are proud to be the home of this historic project."
More than $4 billion will be invested in the Indiana fab. The clean room is scheduled for completion in October 2028, and mass production of next-generation HBM will begin in the second half of 2029. Cutting-edge wafers produced in Korea will be brought to Indiana, where they will undergo advanced packaging and testing before being supplied to U.S. customers. It will be SK hynix's first 'Made in USA' HBM production site.
The significance of the Indiana fab goes beyond simply adding another production facility in the United States. Along with the production line, SK hynix will build an advanced packaging R&D test bed where customers, universities, and partners can jointly develop next-generation packaging technologies. The company also signed a Memorandum of Understanding (MOU) with Purdue University on the day for joint research on next-generation system integration and advanced packaging technologies, including HBM.
Senator Young stressed that semiconductors are strategic assets that shape the U.S. economy and national security. "For too long, the United States designed the world's most advanced chips while allowing much of its manufacturing ecosystem to move overseas," he said. "Today's groundbreaking is proof that the vision of bringing semiconductor manufacturing back to America is becoming reality." He added, "Investments like SK hynix's will help rebuild a complete domestic semiconductor ecosystem in the United States, from R&D to advanced packaging and production."
Ambassador Kang Kyung-wha described the investment as a project symbolizing AI and semiconductor cooperation between South Korea and the United States. "As semiconductors, AI, and resilient supply chains become increasingly important, cooperation between trusted partners has become more vital than ever for economic prosperity and our technological future," she said. She added, "SK hynix's investment of more than $4 billion in West Lafayette is not just an investment in manufacturing capacity, but a direct investment in the innovation that will lead next-generation AI technology."
SK Group plans to make the Indiana investment a key pillar of its expansion in the U.S. AI business.



"Indiana has always been America's crossroads, but now it is becoming the crossroads of the AI future," said Yoo Jung-jun, vice chairman in charge of the Americas at SK Group. "This project will be more than just a new facility. It will become a world-class advanced packaging and R&D hub." He added, "As AI grows, it will require more memory, more computing power, and more energy. SK is ready to build that future together across the United States."
SK Group expects its investment and asset base in the United States to exceed $45 billion by 2030. "Technology alone cannot make this happen. Partnerships make it possible," Yoo said. "Two years ago, we made a promise here in Indiana, and today we are keeping it. This is only the beginning."
Once fully operational, the Indiana fab will become a key HBM production base in the United States, employing about 1,000 people. More than 100 materials, parts, and equipment partners are currently discussing entry into West Lafayette, and SK hynix expects the construction and operation of the plant to create a total of more than 7,000 direct and indirect jobs in the United States.
SK hynix CEO Noh-Jung Kwak said, "Today is the day the United States and SK hynix begin a new future for AI together." He added, "The United States is the center of AI innovation, where top customers, research capabilities, and ecosystems come together, and the Indiana fab will become the base that first delivers 'Made in USA' HBM." He emphasized, "We will become the most trusted partner in building the future of AI in the United States together."


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