Governor Greg Abbott today announced that the sixth Texas Semiconductor Innovation Fund grant of $7.87 million has been extended to DSM Semichem LLC (DSM) for an expansion of their specialty materials and chemicals facility in Plainview. This expansion brings DSM’s total capital investment in the facility to $176 million and creates 40 new jobs.
“Texas is making strategic investments to ensure the stability of critical domestic supply chains for the technologies that fuel our economy,” said Governor Abbott. “This $176 million total capital investment by DSM to construct and expand its facility in Plainview will double their production volume of specialty materials essential for semiconductor manufacturing in Texas. It will also create 40 good-paying jobs for Texans in a high-demand industry. By working together to meet the rising demand for chip production, Texas will continue to lead the nation as we build a stronger, more prosperous Texas than ever before.”
DSM, a joint venture of Dongjin USA, Samsung C&T America, and Martin ELSA Investment LLC, produces electronic-level sulfuric acid (ELSA). DSM’s ELSA is a highly pure form of sulfuric acid needed for its ability to clean wafers and not leave any residual impurities or unidentifiable particles, a critical step in manufacturing chips in high-performance computing, 5G, Al, and defense applications.
“DSM Semichem is honored to receive a $7.87 million grant from the Texas Semiconductor Innovation Fund,” said DSM Semichem LLC Managing Director Tae Yong An. “This funding will accelerate the expansion of our electronic-level sulfuric acid plant in Plainview, enabling Texas to produce the highest quality ELSA in America and meet the increasing demand of domestic leading-edge fabs. DSM will establish Texas as a central semiconductor material production hub and strengthen the U.S. semiconductor supply chain.”
“This investment is a big win for Texas and a testament to our state’s leadership in securing critical supply chains,” said Senator Charles Perry. “DSM’s expansion in Plainview strengthens our semiconductor manufacturing capabilities, bolsters national security, and brings high-quality jobs and major capital investment to West Texas. By supporting homegrown production of essential materials, Texas is ensuring its role as the backbone of American innovation and economic strength.”
“Texas continues to lead the way in securing our nation’s semiconductor supply chain, and this investment in Plainview is proof of that leadership,” said Representative Ken King. “DSM’s expansion will create good-paying jobs, strengthen our local economy, and ensure that materials for chip production are made right here in House District 88. I appreciate Governor Abbott’s commitment to keeping Texas at the forefront of semiconductor manufacturing, and I’m proud to support strategic investments that bring opportunity to our region.”
Governor Abbott signed into law the Texas CHIPS Act in 2023 to establish the Texas Semiconductor Innovation Fund, a performance-based incentive program to encourage the continued leadership of Texas in semiconductor research, design, and manufacturing, as well as the Texas Semiconductor Innovation Consortium. These programs, administered by the Texas CHIPS Office, a newly formed division within the Governor’s Texas Economic Development & Tourism Office, are designed to leverage Texas’ investments in the semiconductor industry, encourage semiconductor-related companies to expand in the state, further develop the expertise and capacity of Texas institutions of higher education, and maintain the state’s position as the nation’s leader in semiconductor manufacturing.
