SK hynix Inc. (NASDAQ: SKHY) saw its shares rise more than 1% in premarket trading following reports that its Solidigm subsidiary is considering the construction of a new NAND flash memory factory in the United States.
According to a report by Reuters, citing three sources familiar with the matter, Upstate New York has emerged as a leading candidate for this potential project. The decision comes amid Washington's push for chipmakers to expand domestic manufacturing capabilities and as global memory supplies tighten due to booming artificial intelligence infrastructure spending.
The potential Solidigm factory would be a separate initiative from SK hynix’s ongoing discussions with Intel Corp. (NASDAQ: INTC) regarding the production of memory chips at Intel’s Ohio facility. As of the report, no agreement has been reached, and key details remain under discussion.
SK hynix stated that Solidigm is reviewing options to strengthen its competitiveness but has not confirmed any specific plans. A U.S. factory could potentially reduce Solidigm’s reliance on its only NAND production facility located in Dalian, China. Additionally, domestic production could help limit exposure to potential U.S. tariffs and restrictions on the export of chipmaking equipment to China.
