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Released March 05, 2024 | SUGAR LAND
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Researched by Industrial Info Resources (Sugar Land, Texas)--KORE Power's (Coeur d'Alene, Idaho) grassroot lithium-ion battery-manufacturing plant in Buckeye, Arizona has received site plan approval, paving the way for full construction to begin later this year. The project is one of $65 billion worth of Industrial Manufacturing Industry projects underway in Arizona, and more than 80% of the combined spend is attributed to three semiconductor projects.
According to a March 1 press release, civil work on the first phase of the $1.25 billion KOREPlex project began in late 2022. It entails constructing a 909,000-square-foot manufacturing building that will house the production of lithium-ion cells and modules for electric vehicles (EVs) and energy-storage systems, and a second phase will add another 909,000-square-foot manufacturing building. The plant is expected to feature an annual production capacity of up to 12 gigawatt-hours (GWh) of battery cells. KORE Power expects vertical construction on the first phase will kick off this year following final approval from the Buckeye City Council. Subscribers to Industrial Info's Global Market Intelligence (GMI) Industrial Manufacturing Project Database can click here to read the related project reports.
Last year, the project received an $850 million construction loan from the U.S. Department of Energy's (DOE) Advanced Technology Vehicles Manufacturing (ATVM) Loan Program--which aims to support the Biden administration's efforts to boost domestic manufacturing of EVs as well as their related batteries, components and critical minerals. For more information on the program and other projects it supports, see June 12, 2023, article - Biden Administration Hands Out Another Loan to Support Domestic EV Battery Production.
But the KOREPlex project is a drop in the bucket compared with the three major semiconductor projects that account for $54 billion worth of manufacturing projects under construction in Arizona. Intel Corporation (NASDAQ:INTC) (Santa Clara, California) is investing $30 billion to add two semiconductor fabrication (fab) plants at its campus in Chandler. The project involves constructing a total of 670,000 square feet to bring the total number of fabrication plants at the site to six, to meet growing demand for microchips, personal computers, internet services and other applications. Subscribers can click here for more details on the project.
In addition, Taiwan Semiconductor Manufacturing Company Limited (TSMC) (NYSE:TSM) (Hsinchu, Tawain) is building two semiconductor fabs in Phoenix; the first phase entails constructing a 2.3 million-square-foot fab building to ultimately produce about 600,000 wafers per year and 4-nanometer semiconductors for iPhones and MacBooks, while the second phase will add a 2.8 million-square-foot fab to manufacture 3-nanometer semiconductors. Construction is tentatively planned to wrap up in mid-2027.
In the company's earnings-related conference call on January 18, Mark Liu, chairman of TSMC, said: "In Arizona, we are in close and constant communication with the U.S. government on incentive and a tax credit support and making strong progress in facility supply chain infrastructure, utility supply and equipment installation for our first fab." He added the construction of the second fab's shell is underway, "but what technology in that shell is still under discussion, and I think that also has to do with how much incentives that fab -- the U.S. government can provide."
Subscribers can learn more by viewing the project reports on Phase I and Phase II.
The Industrial Manufacturing Industry's automotive and data center sectors account for about $9 billion worth of projects underway in Arizona. This includes the construction of two new data centers in Mesa: Google parent Alphabet Incorporated (NASDAQ:GOOGL) (Mountain View, California) is at work on the $600 million initial phase of construction at its new data center campus, which entails constructing a 288,530-square-foot data center building with two server halls and a utility switchyard that is planned to begin operating in 2025.
Meanwhile, data center provider EdgeConneX (Herndon, Virginia) is at work on the $350 million first phase of another new data center campus, which includes constructing a 233,320-square-foot building with a 180,108-square-foot data hall wing and two administrative areas; the project is expected to wrap up in late 2024. Subscribers can read more information on the Google and EdgeConneX projects.
Subscribers to Industrial Info's GMI Project Database can click here for a full list of detailed reports for projects mentioned in this article, and click here for a full list of related plant profiles.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) platform helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking more than 200,000 current and future projects worth $17.8 trillion (USD).
According to a March 1 press release, civil work on the first phase of the $1.25 billion KOREPlex project began in late 2022. It entails constructing a 909,000-square-foot manufacturing building that will house the production of lithium-ion cells and modules for electric vehicles (EVs) and energy-storage systems, and a second phase will add another 909,000-square-foot manufacturing building. The plant is expected to feature an annual production capacity of up to 12 gigawatt-hours (GWh) of battery cells. KORE Power expects vertical construction on the first phase will kick off this year following final approval from the Buckeye City Council. Subscribers to Industrial Info's Global Market Intelligence (GMI) Industrial Manufacturing Project Database can click here to read the related project reports.
Last year, the project received an $850 million construction loan from the U.S. Department of Energy's (DOE) Advanced Technology Vehicles Manufacturing (ATVM) Loan Program--which aims to support the Biden administration's efforts to boost domestic manufacturing of EVs as well as their related batteries, components and critical minerals. For more information on the program and other projects it supports, see June 12, 2023, article - Biden Administration Hands Out Another Loan to Support Domestic EV Battery Production.
But the KOREPlex project is a drop in the bucket compared with the three major semiconductor projects that account for $54 billion worth of manufacturing projects under construction in Arizona. Intel Corporation (NASDAQ:INTC) (Santa Clara, California) is investing $30 billion to add two semiconductor fabrication (fab) plants at its campus in Chandler. The project involves constructing a total of 670,000 square feet to bring the total number of fabrication plants at the site to six, to meet growing demand for microchips, personal computers, internet services and other applications. Subscribers can click here for more details on the project.
In addition, Taiwan Semiconductor Manufacturing Company Limited (TSMC) (NYSE:TSM) (Hsinchu, Tawain) is building two semiconductor fabs in Phoenix; the first phase entails constructing a 2.3 million-square-foot fab building to ultimately produce about 600,000 wafers per year and 4-nanometer semiconductors for iPhones and MacBooks, while the second phase will add a 2.8 million-square-foot fab to manufacture 3-nanometer semiconductors. Construction is tentatively planned to wrap up in mid-2027.
In the company's earnings-related conference call on January 18, Mark Liu, chairman of TSMC, said: "In Arizona, we are in close and constant communication with the U.S. government on incentive and a tax credit support and making strong progress in facility supply chain infrastructure, utility supply and equipment installation for our first fab." He added the construction of the second fab's shell is underway, "but what technology in that shell is still under discussion, and I think that also has to do with how much incentives that fab -- the U.S. government can provide."
Subscribers can learn more by viewing the project reports on Phase I and Phase II.
The Industrial Manufacturing Industry's automotive and data center sectors account for about $9 billion worth of projects underway in Arizona. This includes the construction of two new data centers in Mesa: Google parent Alphabet Incorporated (NASDAQ:GOOGL) (Mountain View, California) is at work on the $600 million initial phase of construction at its new data center campus, which entails constructing a 288,530-square-foot data center building with two server halls and a utility switchyard that is planned to begin operating in 2025.
Meanwhile, data center provider EdgeConneX (Herndon, Virginia) is at work on the $350 million first phase of another new data center campus, which includes constructing a 233,320-square-foot building with a 180,108-square-foot data hall wing and two administrative areas; the project is expected to wrap up in late 2024. Subscribers can read more information on the Google and EdgeConneX projects.
Subscribers to Industrial Info's GMI Project Database can click here for a full list of detailed reports for projects mentioned in this article, and click here for a full list of related plant profiles.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) platform helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking more than 200,000 current and future projects worth $17.8 trillion (USD).
