Austin’s NXP Factories Exploring $291M Upgrades

NXP Semiconductors NV is replacing production lines in two of its Austin factories to the tune of $291 million. The Austin Business Journal reports as part of their plan, NXP is hoping a Texas Enterprise Zone Program antes up over $1 million in tax refunds if they move ahead.

The company pledged to create at least 53 jobs with the project as part of the improvement plan. It already employs 2,768 people between the two sites. The city incentives will take the form of rebates on city property taxes. 

The Texas Enterprise Zone Program is a sales and use tax refund program designed to encourage private investment and job creation in economically distressed areas of the state, provides a state incentive to companies that commit to the creation and/or retention of jobs, as well as economically disadvantaged workforce hiring.

If approved by the Texas Governor’s Office, the company would be eligible for up to $2,500 per job created or retained, with a total reimbursement of state sales and use tax of up to $1.25 million over 5 years.