Friday, August 16, 2024, 12:00 PM
Semiconductor Industry Association
The tentative agreement includes up to $1.6 billion in direct funding to support three 300mm semiconductor wafer fabs under construction in Texas and Utah.
WASHINGTON—August 16, 2024—The Semiconductor Industry Association (SIA) today released the following statement from SIA Chairman and CEO John Neufer, applauding the semiconductor manufacturing incentives announced by the U.S. Department of Commerce and Texas Instruments (TI):
The tentative agreement includes up to $1.6 billion in direct funding to TI through CHIPS and the SCIENCE Act to support three 300mm semiconductor wafer fabs under construction in Texas and Utah. TI is also expected to receive $10 million for workforce development. The projects will create more than 2,000 new jobs at TI and thousands more indirect jobs in construction, supplier and supporting industries.
“The incentives announced today will help Texas Instruments expand domestic production of analog and embedded processing semiconductors while strengthening the U.S. economy, national security and supply chain resiliency. The CHIPS incentives will help bolster U.S.-based current-generation and mature-node semiconductor manufacturing and complement TI’s ambitious total investment of more than $18 billion through 2029. We applaud TI and the Department of Commerce for working together to bolster domestic semiconductor production and innovation, and look forward to continuing to work with government and industry leaders to keep the CHIPS Act on track for success.”
The Commerce Department previously announced incentives for a variety of companies and projects that will help strengthen the U.S. semiconductor supply chain.
The CHIPS Act’s manufacturing incentives have spurred significant announced investments in the U.S. In fact, companies in the semiconductor ecosystem have announced more than 80 new projects across 25 U.S. states since the introduction of the CHIPS Act, totaling hundreds of billions of dollars in private investment. These announced projects will create more than 56,000 jobs in the semiconductor ecosystem and hundreds of thousands of new jobs across the U.S. economy.
A SIA-Boston Consulting Group report released in May projects that U.S. domestic semiconductor manufacturing capacity will triple between 2022, when CHIPS goes into effect, and 2032. The projected 203% growth rate is the largest projected increase in the world over that period. The report also projects that the U.S. will account for more than a quarter (28%) of the world’s total capital expenditures (CAPEX) from 2024 to 2032, second only to Taiwan (31%).
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About SIA
The Semiconductor Industry Association (SIA) is the voice of the semiconductor industry, one of America’s leading export industries and a key driver of America’s economic strength, national security, and global competitiveness. SIA represents 99% of the U.S. semiconductor industry by revenue and nearly two-thirds of non-U.S. semiconductor companies. Through this coalition, SIA seeks to advance semiconductor manufacturing, design, and research leadership by working with Congress, the Administration, and key industry stakeholders around the world to advance policies that foster innovation, drive business, and enhance global competition. For more information, visit www.semiconductors.org.
