WASHINGTON – A bill aimed at urging more semiconductor companies to build chip plants in the U.S., such as the one planned for New Albany, has passed Congress.
UPDATE 7/28/22 3:33 p.m.: The House has approved the bill by a solid margin of 243-187. The measure now goes to President Joe Biden to be signed into law.
“I applaud members of Congress, particularly all the members of the Ohio delegation, for their bipartisan support of the CHIPS for America Act and for their dedication to positioning Ohio to become our nation’s leader in semiconductor production,” Republican Gov. Mike DeWine said.
The bill includes federal grants and tax breaks for companies that build chip facilities in the U.S., such as the development Intel announced in January: a $20 billion plan to build a semiconductor plant in New Albany that is expected to create 10,000 jobs.
The measure also directs Congress to boost spending on high-tech research programs.
Lawmakers backing the initiative say the legislation will help the country stay economically competitive in the decades ahead.
“This is a first step toward ending decades of corporate offshoring of our supply chains that cost Ohio jobs and now is costing everyone by causing inflation. We are putting another nail in the coffin for the term ‘Rust Belt’ – and we’re just getting started,” Democratic Sen. Sherrod Brown said.
“We will move forward together to advance American leadership in semiconductor manufacturing and R&D, and strengthen American national and economic security,” Intel CEO Pat Gelsinger said.
The legislation will provide $52.7 billion to expand domestic semiconductor manufacturing, research and development, and workforce development; more than $11 billion for research and development initiatives and $200 million to promote growth of the semiconductor workforce.
“Ohio’s economy stands to benefit even more from the transformational nature of Intel’s investment in semiconductor manufacturing in our state thanks to the CHIPS Act, which will bolster American manufacturing and national security,” said Steve Stivers, president and CEO of the Ohio Chamber of Commerce said.