Micron invests S$31 billion in new S'pore wafer manufacturing plant

US memory chipmaker Micron Technology has broken ground on a new advanced wafer fabrication facility in Singapore that will create about 1,600 jobs, as part of a planned investment of roughly US$24 billion (S$31 billion) over the next decade that will support long-term manufacturing requirements and AI-driven demand.

Growing demand for AI-driven memory chips

The facility, located within Micron’s existing NAND manufacturing complex in the north of Singapore, will be the country’s first double-storey wafer manufacturing fab, the company announced on Tuesday (Jan. 27) in a press release.

Wafer output is scheduled to begin in the second half of 2028, with the site ultimately providing around 700,000 sq ft of cleanroom space.

The expansion comes as Micron seeks to meet growing global demand for memory chips, particularly those driven by artificial intelligence and data-centric applications.

The company said the new capacity would support long-term technology transitions in NAND and strengthen its global manufacturing network.

Singapore leaders attend groundbreaking ceremony

The groundbreaking ceremony was attended by Singaporean officials and also Deputy Prime Minister and Minister for Trade and Industry Gan Kim Yong.

Manish Bhatia, Micron’s executive vice president of global operations, said the investment underscored the company’s “long-term commitment to Singapore as an important hub in our global manufacturing network”, adding that it would enhance supply chain resilience and foster innovation.

Jermaine Loy, the managing director for Economic Development Board (EDB), said that the expansion would strengthen Singapore’s semiconductor ecosystem and further anchor it as a critical node in the global supply chain.

1,600 new jobs to focus on advanced manufacturing and automation

Micron said the new fab would create around 1,600 jobs in areas such as fab engineering and operations, integrating AI, advanced robotics and smart manufacturing technologies.

Combined with the previously announced 1,400 roles from its high-bandwidth memory (HBM) advanced packaging facility in Singapore, the company’s expansion is expected to support about 3,000 new jobs in total.

The HBM advanced packaging facility, also located within Micron’s Singapore manufacturing complex, is on track to contribute to supply in 2027.

As HBM becomes part of Micron’s local footprint, the company expects potential synergies between NAND and DRAM production, while maintaining flexibility in managing capacity in line with market demand.

Expansion comes amid global memory chip shortage and China layoffs

Micron is expanding production in response to an acute global memory shortage, as industries ranging from consumer electronics to AI service providers race to build out infrastructure, according to Reuters.

Analysts have warned that the supply shortfall could persist through late 2027, even as major players such as Samsung and SK Hynix accelerate new production lines.

However, Micron’s Singapore expansion comes against the backdrop of previous job cuts elsewhere.

In August 2025, the company began a new round of lay-offs in mainland China that was expected to affect hundreds of roles, as part of a broader retreat from the underperforming mobile NAND memory market, the South China Morning Post (SCMP) reported.

Micron said at the time that “continued weakness in the mobile NAND market” had prompted it to halt global development in that segment, while continuing to focus on other NAND solutions such as solid-state drives and automotive applications, as well as mobile DRAM.

Top images via Google maps, Economic Development Board