Daily Management Review

Biden signs law on $52.7B subsidies for U.S. semiconductor manufacturing


The so-called "chip law" was signed by US President Joe Biden. In order to boost the nation's competitiveness against Chinese technical advancements, it offers $52.7 billion in subsidies for semiconductor and chip manufacture and research in the U.S.

Lisa Ferdinando
Lisa Ferdinando
A $52.7 billion subsidy to support semiconductor development and manufacture in the US was signed into law by US President Joe Biden. Reuters reports from a signing ceremony at the White House that it anticipates private chipmaking companies will be able to apply for and obtain subsidies that would increase the United States' competitiveness versus Chinese semiconductor products.

The ceremony was attended by lawmakers, the governors of Illinois and Pennsylvania, the mayors of Cleveland, Detroit, and Salt Lake City, as well as IT executives from Intel, Micron, Lockheed Martin, Advanced Micro Devices (AMD) and HP. Giving money to chip makers and developers was described by Biden as "a once-in-a-generation investment in America itself." In the words of Biden, "America will make the future."

The U.S. Department of Commerce is anticipated to create and publish regulations for evaluating subsidy applications after the law is signed and effective. However, the timetable for that work is not yet established, and neither is the timeframe for receiving funds for the projects that have been submitted.

source: reuters.com