Texas Border Business
Texas Border Business
The Grimes County Commissioners Court voted 4-1 on June 3 to approve a reinvestment zone and tax abatement agreement for SpaceX’s proposed Terafab semiconductor manufacturing and advanced computing facility near the Gibbons Creek Reservoir in Grimes County.
According to county documents, the project is planned as a multi-phase, vertically integrated semiconductor manufacturing and advanced computing complex. Grimes County’s public notice described the proposed development as a transformative investment in domestic semiconductor manufacturing capacity.
The investment figures associated with the project are among the largest ever proposed for a semiconductor manufacturing facility. County documents state the initial phase is expected to involve approximately $55 billion in capital investment. If future phases are completed, total investment could reach as much as $119 billion.
The proposed facility would be located near the former Gibbons Creek power plant property and surrounding land in Grimes County, approximately 20 miles east of Bryan-College Station. The site is also roughly 15 to 20 miles east of Texas A&M University.
The approved actions included the creation of SpaceX Reinvestment Zone No. 1 and a property tax abatement agreement designed to support development of the facility. The vote followed a public hearing attended by residents, business owners, and community stakeholders who offered comments on the proposed project.
According to reports from the meeting, county officials cited the project’s potential economic impact, including new investment, infrastructure development, and job creation. SpaceX has indicated the facility could create approximately 1,800 jobs if constructed as proposed.
Public documents describe the facility as a next-generation semiconductor and advanced computing fabrication campus intended to expand domestic chip production capabilities.
Commissioner David Tullos cast the lone dissenting vote. Reports from the meeting indicate he expressed concerns regarding the scope of the incentive package and the amount of information available about the project.
The approval represents a major step forward for the proposed development, although additional regulatory reviews, permitting requirements, and future project decisions remain ahead before construction can proceed.
See below, Grimes County Notice
