SK Hynix is examining chip production in the USA with Intel

Seoul. According to insiders, the South Korean chip manufacturer SK Hynix is ​​in talks with the US company Intel about producing memory chips in the USA for the first time. Among other things, SK Hynix is ​​considering renting part of Intel's planned factory in the US state of Ohio, said three people familiar with the matter. Another possibility is a joint venture with Intel and large cloud companies that are interested in a secure supply of memory chips, two of the people reported.

A deal would be a major victory for U.S. President Donald Trump's administration, which is increasing pressure on chipmakers to produce in the U.S. amid rising demand from artificial intelligence. However, a major hurdle could be potential resistance from the government in Seoul.

For SK Hynix, production in the USA would be attractive despite significantly higher costs, as the group is under pressure from customers and the US government. US Secretary of Commerce Howard Lutnick had threatened tariffs of up to 100 percent if companies from South Korea and Taiwan did not commit to more production in the US.