South Korea chipmaker SK Hynix says it will invest $3.9 billion in a chip-packaging facility in West Lafayette, Indiana. 

According to the Wall Street Journal, the new plant will mass-produce high bandwidth memory used for artificial intelligence computing, and is expected to open for business sometime in the back half of 2028. 

SK Hynix says that the plant will bring an estimated 1,000 jobs to the region. Indiana also promised up to $554 million in tax rebates for the company, with the Purdue Research Foundation and Purdue University kicking in an additional incentives and services package worth around $60 million. 

This comes amid a push from the Biden administration to boost United States chipmaking and cut into China's influence in the industry. In February, he pledged to invest $5 billion in semiconductor research, development, and workforce needs, pointing to how the U.S. currently produces under 10% of the global supply of semiconductors along with none of the most advanced chips.