Israeli Prime Minister Benjamin Netanyahu confirmed on Sunday, June 18, that the American chipmaker Intel will invest $25 billion to build a new factory in Israel. Netanyahu described this agreement as an 'extraordinary achievement for the Israeli economy' and 'the largest investment by an international company in Israel.' According to the Israeli Ministry of Finance, the factory is set to open in 2027 in the city of Kiryat Gat in southern Israel and will create job opportunities for thousands. The ministry also added that it has reached an agreement with Intel for a tax rate of 7.5%, which is higher than the current 5% rate. Over its nearly five-decade presence in Israel, Intel has become the largest private employer and exporter in the country and a leader in the local electronics and information industry. The company stated that its manufacturing centers in Israel have played a significant role in its global success. Intel expressed that its intention to expand production capacity in Israel is 'based on our commitment to meet future manufacturing needs.' This article references a report from Reuters.
Intel's $25 Billion Investment in Israel
Intel is set to invest $25 billion in a new factory in Israel, which Prime Minister Netanyahu claims is a major boost for the Israeli economy. The factory will open in 2027 and create thousands of jobs, while the tax agreement with Intel will increase the tax rate to 7.5%. This investment underscores Intel's long-term commitment to Israel's economy.
👥 Key Players
📰 What Happened
Intel announced a $25 billion investment to build a new factory in Israel, which is expected to create thousands of jobs and enhance the country's economy. This investment is the largest by an international company in Israel to date.
- The factory will be located in Kiryat Gat and is set to open in 2027.
- Intel has agreed to a tax rate of 7.5%, up from the previous 5%.
💡 Why It Matters
📚 Background
Israel has become a leading destination for tech investments, particularly in the semiconductor industry, which is vital for global supply chains. Intel has a long-standing presence in Israel, contributing to its economic growth.
🏷️ Entities Mentioned
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