According to ME News, on November 5 (UTC+8), Micron Technology has largely halted plans to build a new memory chip factory in Taoyuan, Taiwan, due to an ongoing labor dispute with its employee union. The project, with an estimated investment of $3 billion to $4.5 billion, was originally scheduled to begin production in 2028. Sources familiar with the matter said Micron is concerned that a previously reached agreement with the union may be overturned; only minimal site security maintenance is currently ongoing, with construction set to be fully frozen. The dispute stems from employees’ demands to share in the profit growth driven by the AI boom. The Taoyuan union is calling for 15% of operating profits to be distributed to global employees in full cash bonuses, rather than partially in stock. Although Micron reached an agreement in October with the larger Taichung union, some employees remain dissatisfied with the terms, and the Taoyuan union is attempting to expand its membership to push for renegotiation. The facility was planned to produce high-bandwidth memory (HBM) and DRAM using advanced equipment from ASML. Taiwan currently accounts for approximately 60% of Micron’s DRAM output and serves as a key HBM production hub, employing around 15,000 people. Micron responded that its existing operations in Taiwan are running normally and that it will ensure business continuity for customers, but declined to directly comment on the suspension of the Taoyuan project. Taiwan’s Ministry of Economic Affairs stated that the government will assist Micron and the union in resolving their differences and facilitating the implementation of the investment plan. (Source: ChainCatcher)