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SIA Applauds Passage of Strengthened Semiconductor Investment Credit
July 4, 2025 | SIAEstimated reading time: 1 minute
The Semiconductor Industry Association (SIA) released the following statement from SIA President and CEO John Neuffer following passage in the U.S. House of Representatives of the One Big Beautiful Bill Act (H.R. 1). The domestic policy package is set to be signed into law by the President on July 4th. The measure advances a top SIA tax priority by increasing the rate of the advanced manufacturing investment credit (AMIC) from 25% to 35%. The bill also includes several other important measures supported by SIA, including a permanently modified deduction on foreign-derived intangible income and a restoration of full deductibility of domestic R&D expenditures.
“SIA applauds the passage of a strengthened advanced manufacturing investment credit, along with several other tax provisions of importance to our industry. The credit is vital to achieving President Trump’s goals of securing advanced manufacturing in America over the long term and promoting sustained investment in the U.S. semiconductor ecosystem. The credit has helped spur significant private investment across America’s semiconductor supply chain, put the U.S. on track to more than triple domestic chip manufacturing capacity by 2032, and is projected to create and support more than 500,000 American jobs. The enhanced credit will support additional investment into the domestic chip ecosystem and make America more globally competitive. We commend the steadfast leadership of Chairman Crapo in championing this critical effort. We look forward to working with the Administration and Congress to further secure the future of America’s semiconductor resurgence.”
Earlier this year, Rep. Claudia Tenney (R-NY) and a bipartisan group of cosponsors introduced the Building Advanced Semiconductors Investment Credit (BASIC) Act (H.R. 3204) to increase the AMIC to 35% and extend the duration of the credit through 2030. The credit increase under the BASIC Act was incorporated into the sweeping domestic policy package passed today.
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