The Chips Act set aside US$39 billion in direct grants and around US$75 billion worth of loans and loan guarantees to bring chipmaking back to the US after decades of production in Asia. It’s catalyzed more than US$230 billion in private semiconductor investment, including from industry giants like Taiwan Semiconductor Manufacturing Co, Intel Corp, Micron Technology Inc and Samsung Electronics Co.
The US announced the first semiconductor grant under the 2022 Chips Act, awarding US$35 million to the US subsidiary of British aerospace firm BAE Systems Plc to ramp up manufacturing of military chips.
The money will help a BAE facility in Nashua, New Hampshire, quadruple production of chips that are used in F-15 and F-35 fighter jets, the Commerce Department said. Secretary Gina Raimondo, who was travelling to New Hampshire to announce the grant, said it seeks to “set the tone” for the rest of the chips effort.
