(TNS) — The U.S. Department of Commerce on Tuesday formally awarded $325 million in direct funding to Hemlock Semiconductor under the CHIPS Incentive Program Commercial Manufacturing Facility Funding Opportunity for the construction of a new manufacturing facility. Announced.
Hemlock Semiconductor is the only U.S.-owned manufacturer of ultra-high purity polysilicon and one of only five companies in the world producing polysilicon at the purity levels required to serve the most advanced semiconductor markets. One of our companies.
The CHIPS award will support the construction of a new manufacturing facility in Hemlock, which is expected to create approximately 180 manufacturing and more than 1,000 construction jobs.
“This funding is a game-changer for Mid-Michigan,” said Congresswoman Kristen MacDonald Rivet. It’s creating good-paying jobs.” . “Hemlock Semiconductor has strengthened its commitment to our communities through investments that will benefit generations of Michigan workers. I will continue to work in Congress to protect American jobs, not China. We will continue to fight to ensure more manufacturing here in Michigan.”
The award is based on a preliminary memorandum of conditions announced in October and previously signed. The Department of Commerce will distribute funding based on the completion of HSC’s project milestones.
U.S. Secretary of Commerce Gina Raimondo said, “CHIPS for U.S. HSC investments will help the U.S. increase supply chain security by ensuring a reliable domestic supply of polysilicon, the foundation of semiconductors. It will be helpful.” “Establishing domestic sources of these materials is critical to the development of cutting-edge chip applications, which will help strengthen our economy and national security. Through targeted investments like this, Biden The Harris Administration will drive innovation in the industries of the future, making jobs available across the country.”
The new facility will specialize in the production and purification of ultra-high purity, semiconductor-grade polysilicon. Polysilicon is the underlying material for microprocessors, artificial intelligence chips, memory and power devices. This investment is expected to benefit several industries in Michigan, including the automotive industry.
“Michigan’s workers are the best in the world. We know how to make things well and correctly, and this major federal investment reflects that expertise,” said Sen. Gary Peters. ” he said. “This funding that I fought to secure will now officially go to Hemlock Semiconductor to expand production of ultra-high purity polysilicon and strengthen the domestic supply chain for critical semiconductor technology, while providing thousands of high-income revenues. We are excited to create jobs for people in our state.”
In October, government officials expected construction of the new facility to begin in 2026. Production should begin in 2028 and reach full capacity by the end of 2028 or early 2029.
“We are pleased to announce the signing of a direct funding agreement with the Department of Commerce under the CHIPS Act, which will allow us to serve the cutting-edge semiconductor market in a high quality and sustainable manner. “This is an important milestone in strengthening our manufacturing capabilities as we continue to make polysilicon,” said AB Ghosh, HSC Chairman and CEO. “The new facility will play a critical role in strengthening the U.S. semiconductor supply chain. Support from the Department of Commerce and dedicated partners at all levels of government helped make this possible. We look forward to contributing to revitalizing the nation’s supply chain, creating high-wage jobs, and advancing technological leadership in the semiconductor industry. ”
For more information about this award, please visit the CHIPS for America website.
©2025 Midland Daily News, Distributed by Tribune Content Agency, LLC.
