Israeli local media reported on Tuesday that US technology giant Intel has halted the construction of its new $25-billion factory in Israel. According to the Israeli financial daily Calcalist, the Finance Ministry is aware of Intel’s decision to suspend the establishment of the plant.
The report indicated that Intel’s suppliers received notices in recent days canceling contracts for the supply of equipment and materials needed for the factory’s construction. The completion of the factory was initially expected by 2026.
Additionally, Calcalist noted that several senior officials at Intel Israel have relocated to a factory that Intel is establishing in Ohio, as part of an American initiative to produce chips domestically.
Israeli authorities have yet to officially comment on the issue. Intel attributed the halt to “business conditions, market dynamics, and responsible capital management,” according to a statement quoted by Calcalist.–News Desk