SEMI Applauds Advancement of U.S. CHIPS and Science Act Incentives

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SEMI, the industry association serving the global electronics design and manufacturing supply chain, applauded the first award of U.S. CHIPS and Science Act incentives to strengthen the United States semiconductor industry ecosystem.

“We commend the thoughtful approach the U.S. Department of Commerce has taken in awarding incentives and are pleased to see the advancement of incentives to bolster the resiliency of the domestic semiconductor supply chain,” said Joe Stockunas, President of SEMI Americas. “In order for the global semiconductor industry to support the push for digitalization and a diverse range of smart applications over the coming years, we must go beyond elevating just one facet of the supply chain and pursue a fortified ecosystem encompassing equipment, materials and advanced packaging. SEMI has advocated with the U.S. Chips Program Office to distribute incentives with this goal in mind, and we are confident in their understanding of the industry’s needs.”

The CHIPS and Science Act provides a 25% tax credit for U.S. facilities that produce semiconductors or chipmaking equipment and $52 billion in funding for new or updated semiconductor-related manufacturing programs. The funding includes $39 billion for grants available to semiconductor manufacturers as well as equipment and materials suppliers and $11 billion for federal semiconductor research programs.