Intel is making the biggest foreign investment ever in Israel with the building of a chip manufacturing plant, Prime Minister Benjamin Netanyahu announced on Sunday.
The U.S. semiconductor company will spend $25 billion on a third Israeli factory in Kiryat Gat in the south of the country that is scheduled to open in 2027, according to the Finance Ministry.
Under the deal, Intel will pay a 7.5% tax rate, up from 5%, the Finance Ministry added.
“This is an expression of great confidence in the Israeli economy and exactly reflects the strength of the free economy that we have built here, and the technological economy that we are developing here,” the prime minister said at the start of the weekly Cabinet meeting.
