The lack of advanced semiconductor manufacturing in the United States seriously worries the country's authorities, and they are ready to do everything possible to increase the US share of the global market to 20% by 2030, if we talk about products manufactured using advanced lithography. At the same time, the US Secretary of Commerce openly warns that there will not be enough subsidies for everyone who wants to develop such production.
Speaking at a government event earlier this week, US Secretary of Commerce Gina Raimondo expressed confidence that the joint efforts of interested companies and the country's authorities will allow the US share of the global market for chip production services using advanced lithography to increase to 20%, whereas now this share is negligible. It is planned to develop the national semiconductor industry in a comprehensive manner: from chip development to processing of silicon wafers; it is also planned to create enterprises for testing and packaging of chips. Modern types of memory in the United States also need to be produced, the official added.
Gina Raimondo emphasized that the department she heads faces the difficult task of selecting the most promising projects, since the US authorities are not going to “spread money in a thin layer among as many companies as possible.” 600 applicants submitted applications for subsidies, and in the advanced lithography segment alone, the needs of companies are estimated at $70 billion, while the US authorities are going to distribute no more than $28 billion between them. The remaining part of the amount of $39 billion, which will be used to subsidize the construction of enterprises in the United States , most likely, will be intended for chip manufacturers using mature technical processes. Raimondo explained that mature lithography is an important direction for the development of the national semiconductor industry, since the crisis in the automotive industry in 2021 showed that the country is highly dependent on the supply of such products through import channels, and it is necessary to develop the production of element base in the country.
Let us remind you that so far only three recipients have been approved for subsidies, with the largest of them being GlobalFoundries, which will receive $1.5 billion for the development of its enterprises in New York state. In her speech, Gina Raimondo cited the example of TSMC’s activity in building enterprises in Arizona, but has not yet specified when and in what amount this Taiwanese manufacturer will receive subsidies. The official was forced to admit that she is conducting difficult negotiations with applicants, forcing them to do more for less money, and calls on all participants in the process to realize that the vast majority of the 600 applicants for subsidies will not get anything. The process of allocating budget funds will be very selective. Applicants will be very lucky if they receive half of the requested funds, as the US Secretary of Commerce explained. Priority is given to those projects that involve the launch of new production before the end of the current decade. As a rule, the country's authorities are ready to cover no more than 35% of the capital costs of chip manufacturers.
If you notice an error, select it with the mouse and press CTRL+ENTER.