GlobalWafers Co., a Taiwanese silicon wafer manufacturer crucial for chip production, has secured up to $406 million in funding from the US CHIPS and Science Act. This funding will support the construction of new factories in Texas and Missouri, bolstering domestic semiconductor manufacturing.
The US Commerce Department finalized the agreement, solidifying a preliminary deal announced in July. The funding will be disbursed based on GlobalWafers achieving specific milestones outlined by the department. This significant investment underscores the US government’s commitment to revitalizing domestic chip production and strengthening its technological competitiveness.
Commerce Secretary Gina Raimondo emphasized the strategic importance of this investment, stating that the domestically produced semiconductor wafers will form the foundation for advanced chips crucial for global innovation and competition. The project is expected to create over 2,000 jobs across Texas and Missouri, significantly impacting local economies. Furthermore, Raimondo highlighted the investment’s role in strengthening US supply chains and enhancing national and economic security.
The CHIPS Act, a cornerstone policy of the Biden-Harris administration, aims to attract chip manufacturing back to the US after decades of reliance on Asian production hubs. GlobalWafers’ nearly $4 billion investment in the US projects aligns with this national initiative. The company joins other major semiconductor players like Intel Corp., Micron Technology Inc., Taiwan Semiconductor Manufacturing Co. (TSMC), and Samsung Electronics Co. as beneficiaries of CHIPS Act funding. This collective effort signals a significant shift in the global semiconductor landscape, with the US aiming to reclaim a leading role in chip production. GlobalWafers’ commitment to expanding its US operations demonstrates the effectiveness of the CHIPS Act in incentivizing companies to invest in domestic semiconductor manufacturing. This strategic move will not only boost the US economy but also contribute to securing critical supply chains for advanced technologies.
