Intel Delays Ohio Chip Plant by Three Years, Pushing Completion to 2030s

Intel has delayed the completion of its New Albany, Ohio, semiconductor plant, pushing the timeline to between 2030 and 2031, with the second fabrication facility expected a year later. Despite the setback, construction is still progressing, with the basement level finished and above-ground work underway. Ohio officials have confirmed that Intel remains committed to the project, meaning no financial penalties will be imposed. Meanwhile, the company has already begun hiring and training Ohio-based employees at its facilities in Arizona, New Mexico, and Oregon.

However, community groups have raised concerns, criticizing Intel for repeated delays despite receiving significant public funding. Additionally, speculation surrounding the semiconductor industry has intensified, with rumors of TSMC acquiring a stake in Intel’s foundry division and discussions about potential new tariffs on imported materials impacting the project’s future.

Intel Delays Ohio Chip Plant by Three Years, Pushing Completion to 2030s

Intel’s highly anticipated semiconductor manufacturing facility in New Albany, Ohio, has been hit with another delay, pushing its completion to the next decade. Initially slated to open this year, Intel now expects construction of the first fabrication plant (Mod 1) to conclude between 2030 and 2031, with the second facility (Mod 2) following about a year later.

The project, known as Ohio One, was originally scheduled for completion in 2025, later revised to between 2026 and 2027, with production beginning between 2027 and 2028. Despite this setback, Intel emphasized its ongoing commitment to the site, citing the need to align factory production with business demands and market conditions.

While the delay is disappointing, both state officials and Intel reaffirmed that construction is still progressing. The basement level has been completed as planned, and above-ground work is in progress. Ohio Governor’s Press Secretary Dan Tierney confirmed that the company has not withdrawn from its agreement, meaning financial penalties associated with project abandonment will not be triggered.

Intel continues to invest in the project, with hiring efforts already underway. Some Ohio employees are currently training at Intel’s facilities in Arizona, New Mexico, and Oregon in preparation for eventual operations in New Albany.

Local leaders, including New Albany Mayor Sloan Spalding and Ohio Chamber of Commerce President Steve Stivers, acknowledged the delay but saw benefits in the extended timeline, allowing more time to develop critical infrastructure. Approximately 80% of the necessary infrastructure for the project’s first phase, including roads, water lines, and storm drainage, has already been completed.

However, the delay has also raised concerns. Judith Barish, director of CHIPS Communities United, a coalition advocating for communities impacted by CHIPS Act investments, criticized Intel for pushing back its timeline despite receiving substantial public funding. She urged the company to fulfill its commitments to Ohio’s workforce and ensure a safe, well-managed facility.

Speculation surrounding the semiconductor industry’s broader landscape continues, particularly with rumors of Taiwan-based TSMC potentially acquiring a 20% stake in Intel’s foundry division. Additionally, reports of a proposed 25% tariff on imported steel and aluminum under former President Donald Trump’s policies have prompted discussions about potential cost implications for projects like Ohio One.

Intel has delayed the completion of its New Albany, Ohio, semiconductor plant, pushing the timeline to between 2030 and 2031, with the second fabrication facility expected a year later. Despite the setback, construction is still progressing, with the basement level finished and above-ground work underway. Ohio officials have confirmed that Intel remains committed to the project, meaning no financial penalties will be imposed. Meanwhile, the company has already begun hiring and training Ohio-based employees at its facilities in Arizona, New Mexico, and Oregon. However, community groups have raised concerns, criticizing Intel for repeated delays despite receiving significant public funding.

Local leaders, including New Albany Mayor Sloan Spalding and Ohio Chamber of Commerce President Steve Stivers, acknowledged the delay but pointed to a potential silver lining—more time to complete critical infrastructure. About 80% of the necessary roads, water lines, and storm drainage systems for the project’s first phase are already in place.

Meanwhile, speculation around the semiconductor industry continues, with reports of TSMC potentially acquiring a 20% stake in Intel’s foundry division. Additionally, the possibility of new U.S. tariffs on imported steel and aluminum could further impact project costs and timelines. Despite these uncertainties, construction on the site remains ongoing.