Amkor Technology Inc. (NASDAQ:AMKR) stock climbed nearly 6% in Wednesday’s premarket session after the company announced a long-term partnership with Taiwan Semiconductor Manufacturing Co. Ltd. (NYSE:TSM) to expand advanced semiconductor packaging capacity in the United States.

Broader market sentiment also supported the move. Ahead of the opening bell, Nasdaq futures gained 0.65%, while S&P 500 futures rose 0.15%. Dow futures were little changed. The positive backdrop added to the momentum following the partnership announcement.

Amkor, Taiwan Semiconductor Expand U.S. Chip Packaging Partnership

Amkor and Taiwan Semiconductor on Tuesday announced a 10-year partnership to expand advanced semiconductor packaging and testing in Arizona.

Under the agreement, Taiwan Semiconductor will procure advanced packaging and testing services from Amkor, helping increase U.S. capacity for AI, high-performance computing, and other advanced chips.

The companies said the collaboration will strengthen the domestic semiconductor supply chain, improve efficiency, and speed time to market.

The partnership supports Taiwan Semiconductor’s chip fabrication facilities and Amkor’s advanced packaging and test campus, both under development in Arizona.

Technical Analysis

Amkor remains in a strong long-term uptrend. The stock has gained 325.94% over the past year and continues to trade well above its major moving averages.

At $91.47, the shares sit 25.6% above the 20-day simple moving ...