Intel CEO joins Trump to tout US chip factory

WASHINGTON: US tech giant Intel unveiled plans for a $7 billion chip factory in Arizona, in an announcement at the White House with President Donald Trump.

While Trump appeared to take credit for the plan, Intel called the investment an "update" of a 2011 plan to invest $5 billion for the same facility in the southeastern US state.

An Intel spokesman said the initial plan had not been completed due to lack of demand, and that Wednesday's move represented a "new" invest- ment of $7 billion. It marked the latest in a string of such announcements since Trump began pressing companies to create more American jobs and reverse the trend of offshore manufacturing.

"Intel is very proud of the fact that the majority of our manufacturing is here in the US and the majority of our research and development is here in the US, while over 80 percent of what we sell is sold outside of the US," chief executive Brian Krzanich said at a White House event with Trump. The company said the Arizona plant would produce "the most advanced 7-nanometer semiconductor chips on the planet" and directly lead to 3,000 "high-tech, highwage jobs" at Intel. With the indirect impact, the company said an estimated 10,000 jobs would result from the factory.

Trump said Krzanich "called a few weeks ago and said, we want to do a very big announcement having to do with our country, but also having to do mostly with Arizona, and the jobs and the great technology that will be produced."