GlobalWafers’ expansion in Texas: Phase 2 begins
Construction progressed through 2023 and 2024, culminating in the completion and official opening of the Sherman facility in May 2025.
GlobalWafers’ expansion in Texas has quietly become one of the most consequential projects in the U.S. semiconductor supply chain, marking a rare return of advanced silicon wafer manufacturing to American soil. Centered in Sherman, Texas, the project represents both a strategic shift for the Taiwanese wafer giant and a test case for how effectively U.S. industrial policy can translate incentives into real, operating capacity.
The Texas project was first announced in 2022, at a moment when global chip shortages and geopolitical tensions were forcing semiconductor companies to rethink supply-chain concentration in East Asia. For GlobalWafers, the decision to build in the United States aligned with the goals of the CHIPS and Science Act and with growing demand from customers planning or expanding U.S.-based chip manufacturing. The company committed an initial investment of roughly $3.5 billion to build a fully integrated 300-millimeter silicon wafer facility — the first of its kind constructed in the United States in more than two decades.
Construction progressed through 2023 and 2024, culminating in the completion and official opening of the Sherman facility in May 2025. The opening marked the end of the project’s first major phase and the beginning of production activities. At the same time, GlobalWafers expanded its long-term vision for the site, announcing that total planned investment could reach approximately $7.5 billion as additional phases are added over time. Federal support followed, with the company securing up to $406 million in CHIPS Act grants tied to construction and production milestones.
Since the opening, the focus has shifted from construction to execution. The Sherman fab has begun producing 300-millimeter wafers, initially at low volumes as customer qualification, process tuning, and yield optimization take place. Industry reporting indicates that shipments have already started on a small scale, with monthly output gradually increasing as the facility moves through the standard ramp-up curve typical of advanced wafer manufacturing. While the plant is not yet operating at full commercial capacity, the steady increase in output suggests the ramp is proceeding largely as planned.
Attention has now turned to Phase Two of the Texas project. In early 2026, GlobalWafers confirmed it is actively preparing for a second phase of expansion at the Sherman site. This next phase is designed to roughly mirror the first, potentially doubling capacity once completed. However, unlike the initial build, Phase Two is being approached cautiously. Company leadership has made clear that final construction decisions will depend on long-term customer commitments rather than fixed timelines, reflecting lessons learned from past industry cycles where aggressive expansion led to oversupply.
The evolution of commitment dates underscores this disciplined approach. Early announcements framed the Texas site as a multi-phase campus capable of supporting up to six expansion stages, but GlobalWafers has resisted locking in construction schedules for later phases without firm demand signals. As of early 2026, Phase Two remains in the design and planning stage, with no full construction start date announced. This represents a shift from early expectations of a faster follow-on build, but it also signals a deliberate effort to align capital spending with secured orders.
Recent developments suggest that demand may be moving in the right direction. The company has reported growing interest from U.S.-based customers seeking domestically produced wafers, particularly as new logic and memory fabs come online across the country. Partial disbursements of CHIPS Act funding tied to milestone completion further indicate that the project is meeting operational benchmarks. Reports that major technology firms are evaluating or negotiating supply agreements with GlobalWafers add to the sense that the Texas facility is becoming embedded in long-term supply planning.
Strategically, the Sherman fab occupies a unique position. It is currently the only fully integrated advanced silicon wafer facility operating in the United States, giving GlobalWafers a first-mover advantage as domestic semiconductor manufacturing expands. For U.S. policymakers, the project serves as a tangible example of how materials capacity — often overshadowed by headline-grabbing chip fabs — is just as critical to rebuilding a resilient semiconductor ecosystem.
While the Texas expansion has unfolded more methodically than some early projections suggested, recent indicators point to genuine momentum. Phase One is operational and scaling, Phase Two planning is active, and the broader site has the physical and regulatory capacity for significant future growth. Rather than a rapid sprint, GlobalWafers’ Texas project is shaping up as a carefully paced, demand-driven buildout — one that could ultimately anchor a critical segment of the U.S. semiconductor supply chain for decades to come.
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