The US Government has decided to provide $406 million subsidy to GlobalWafers, a Taiwanese tech manufacturing company that happens to be the world’s third-largest silicon wafer supplier. This is another significant step taken by the US to strengthen its grip in the semiconductor world.
“We look forward to innovating with our US-based chip customers for decades to come,” said Doris Hsu the chief executive officer (CEO) of GlobalWafers.
The Biden administration continues to attempt to reinforce the American semiconductor chip supply chain, with wafers being an essential aspect of these semiconductor chips.
About GlobalWafers
GlobalWafers is a Taiwanese tech manufacturing company established in October 2011 with its headquarters located in Hsinchu, Taiwan. They are the third largest silicon supplier in the world and were last majorly in the headlines in 2020 for their attempted acquisition of German silicon wafer supplier Siltronic.
The grant money
As per the American commerce department, the grant money for the projects in Texas and Missouri will significantly raise silicon-on-insulator wafer production and create the first high-volume US production of 300-mm wafers for advanced semiconductors.
The subsidies would enable GlobalWafers to contribute around $4 billion in both states to build new wafer production facilities and generate 880 manufacturing jobs and 1,700 employment opportunities in construction.
GlobalWafers plans on establishing a new plant in St. Peters, Missouri, for wafers used in defence and aerospace chips, as well as to establish and expand sites in Sherman, Texas, for producing wafers used to create leading-edge, mature-node, and memory chips.
Before the incoming president, Donald J. Trump, assumes power on the coming January 20, the US government has been pushing to complete grants under the $52.7 billion 2022 CHIPS and Science Act semiconductor manufacturing and research subsidy program.
Overview
The subsidies would enable GlobalWafers devote over $4 billion in new wafer production facilities in Texas and Missouri, generating 880 manufacturing jobs and 1,700 construction jobs. The Biden administration’s plan to fortify America’s semiconductor supply chain encompasses these wafers, which are essential to developing advanced semiconductors.
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