NEWS Desk Global
Apr 151 min
The Biden administration has announced plans to award grants totaling up to $6.4 billion to South Korea's Samsung in order to facilitate the expansion of its chip production operations in central Texas. This initiative is part of a broader effort to strengthen semiconductor manufacturing in the United States. Funded through the 2022 Chips and Science Act, this investment will support the establishment of two chip production facilities, a research center, and a packaging facility in Taylor, Texas. Additionally, the funding will enable Samsung to expand its existing semiconductor facility in Austin, Texas.
Commerce Department Secretary Gina Raimondo emphasized that this expansion will not only enhance chip output for industries such as aerospace, defense, and automotive but also bolster national security efforts. The primary objective of this initiative is to decrease dependency on semiconductor production in China and Taiwan. Over the years, the U.S. share of global semiconductor manufacturing capacity has declined significantly, from 37% in 1990 to just 12% in 2020.