[Edaily Cho Yong Seok Reporter Bang Seong-hoon] Plans for SK Hynix to produce memory semiconductors in the U.S. have resurfaced. While reports in July centered on the acquisition of Intel’s Ohio semiconductor plant, the latest proposals involve leasing part of the facility or establishing a joint venture with Intel and major cloud service providers.

On the 16th, Reuters reported, citing three sources familiar with the matter, that SK Hynix is in negotiations with Intel regarding plans to produce memory chips in the U.S. for the first time. The report states that SK Hynix is discussing a plan to lease part of the semiconductor plant Intel is building in Ohio. Two of the sources added that the possibility of forming a joint venture with Intel and major cloud service providers seeking to secure memory supplies is also being discussed.

However, one source emphasized that the discussions are in the exploratory phase, nothing has been decided yet, and other forms of deals could also be considered. It is also unknown what type of semiconductors would be produced in Ohio.

Earlier, in July, domestic media reported that SK Hynix was pursuing the acquisition of Intel’s Ohio campus to produce memory semiconductors in the U.S. within five years. At the time, SK Hynix issued a public statement saying, “We are continuously reviewing various investment and acquisition opportunities for our business,” but denied the reports, stating, “We have neither pursued nor decided to acquire Intel’s Ohio site or fab.”

At the time, the U.S. media outlet Semafor reported on the possibility of a collaboration different from an acquisition. The report stated that Intel was seeking a partner to jointly operate the Ohio plant and that SK Hynix was being considered as a candidate. However, it was reported that the two companies had not yet begun official negotiations and that SK Hynix’s interest was still in a very early stage.

This latest Reuters report differs in that it proposes specific arrangements—such as leasing or a joint venture—rather than an outright acquisition. Leasing part of the facility rather than purchasing the entire plant would reduce the burden of acquiring land and buildings, as well as the risks associated with asset acquisition. A joint venture could serve as a more realistic alternative to an acquisition, as it would allow SK Hynix to share investment costs with Intel and cloud service providers while securing a long-term customer base.

If the negotiations are successful, Intel—which is facing financial difficulties—would see its burden eased, and the Trump administration would achieve its goal of pressuring semiconductor companies to produce in the U.S. With a surge in investments in AI and data centers, the memory semiconductor market is experiencing a severe supply shortage.

Manufacturing in the U.S. is significantly more expensive than in South Korea due to high labor and construction costs, as well as supply chains concentrated in Asia. Nevertheless, SK Hynix has sufficient reasons to consider building a U.S. factory. SK Hynix, which completed a secondary listing on the Nasdaq in July, is currently building only a packaging plant in Indiana. SK Group Chairman Choi Tae-won stated last July that the company is under immense pressure from customers and various countries to supply more semiconductors, and expressed his view that a U.S. factory should be built if possible.

Intel, in which the U.S. government holds a stake, could also alleviate its financial burden. Intel announced in 2022 that it would invest up to $100 billion (approximately 136.37 trillion won) to build the world’s largest semiconductor complex in Ohio, with production set to begin in 2025. However, the completion dates for the two plants have been pushed back to 2030 and 2031.

However, strong opposition from the South Korean government is also expected. Sources indicated that the South Korean government may object because both high-bandwidth memory (HBM) and DRAM production are classified as sensitive technologies. The Ministry of Trade, Industry and Energy told Reuters that while the decision rests with the companies, if “core national technologies” are involved, the project would be subject to review under the Industrial Technology Protection Act.

It will not be easy to satisfy both governments. The South Korean government is urging SK Hynix and Samsung Electronics to expedite the construction of a semiconductor cluster in the southwestern region. Meanwhile, U.S. Commerce Secretary Howard Rutnick has warned that if production in the U.S. is not increased, tariffs of up to 100 percent will be imposed on South Korean and Taiwanese companies.

South Korea and the U.S. are also locked in a tug-of-war over the fulfillment of the $350 billion (approximately 477.295 trillion won) in U.S.-bound investments that South Korea pledged last year in exchange for tariff reductions. Of this amount, $150 billion (approximately 204.555 trillion won) has been allocated to the shipbuilding industry, but the remaining $200 billion (approximately 272.74 trillion won) has not yet been designated.

Two sources reported that SK Hynix finds itself in a difficult position, as the South Korean government is attempting to use SK Hynix’s investment in the U.S. as a bargaining chip, while the U.S. is pressuring the company for a swift investment commitment.

SK Hynix maintains that nothing has been decided. A company spokesperson stated, “There are no changes from what has been reported previously. We view this as merely speculation linking the two companies following the move of former SK Hynix CEO Lee Seok-hee to Intel,” adding, “You can assume the company is considering various options to respond to the increase in memory demand.”