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The CHIPS Act Has Already Sparked $200 Billion in Private Investments for U.S. Semiconductor Production

By enacting the CHIPS and Science Act in August 2022, policymakers in Washington took an historic step toward attracting investment in semiconductor production and innovation in the U.S. And while the new law must still be implemented effectively and efficiently to realize its potential, the CHIPS Act has already sparked private investments in the U.S. that will strengthen the U.S. economy, job creation, and supply chain resilience.

From the time the CHIPS Act was introduced in the Spring of 2020 through the months following its enactment, companies in the semiconductor ecosystem announced dozens of projects to increase manufacturing capacity in the U.S. Some projects began in anticipation of CHIPS Act funding and relying on policymakers’ commitment to follow through on such funding, while others moved forward following enactment of the legislation. Here are some highlights of announcements spurred by the CHIPS Act:

  • Over 40 new semiconductor ecosystem projects announced across the U.S., including the construction of new semiconductor manufacturing facilities (fabs), expansions of existing sites, and facilities that supply the materials and equipment used in chip manufacturing
  • Nearly $200 billion in private investments announced across 16 states to increase domestic manufacturing capacity
  • 40,000 new high-quality jobs announced in the semiconductor ecosystem as part of the new projects, which will support many more jobs throughout the broader U.S. economy


These new projects cover a range of activities needed to bolster the U.S. chip ecosystem, including new, expanded, or upgraded fabs in various semiconductor segments (e.g., advanced logic, memory, analog, and legacy chips), semiconductor equipment facilities, and facilities to produce key materials used in the chip manufacturing process.

In anticipation of CHIPS Act incentives, some projects have already begun groundbreaking and construction activities, with production to start as early as the end of 2024. Other projects will begin construction in 2023. And some projects incentivized by the CHIPS and Science Act may operate on an even quicker timeline, including such projects as tool upgrades or additions. The announced projects include the construction of 23 new chip fabs and the expansions of 9 fabs.

Increased fab construction spurs investments by suppliers of materials, chemicals, and equipment. As a result, companies that supply semiconductor manufacturing equipment and the materials used in the production of chips—including high-purity chemicals, specialty gases, and wafers—announced plans to invest in several facilities to support increased domestic manufacturing capacity.

The total impact of the new fabs, expansion of existing fabs, and equipment and materials supplier projects amount to nearly $200 billion in company investments and the creation of approximately 40,000 jobs throughout the U.S. semiconductor supply chain. Job creation in this sector supports jobs throughout the broader U.S. economy. In fact, a 2021 SIA-Oxford Economic study found that for each U.S. worker directly employed by the semiconductor industry, an additional 5.7 jobs are supported in the wider U.S. economy.

In addition to the Commerce grants, the CHIPS Act also includes the “Advanced Manufacturing Investment Credit” for semiconductor manufacturing facilities and facilities that produce semiconductor manufacturing equipment. Taken as a whole, these incentives are expected to generate significant investment in the semiconductor ecosystem in the U.S., and both are sorely needed to close the significant cost gap between the U.S. and global competitors.

In August, with enactment of the CHIPS and Science Act, bipartisan leaders in Washington initiated a bold bet that an investment in U.S. chip production and innovation was an investment in America’s future. Just four months after enactment of the CHIPS and Science Act, the semiconductor sector has responded enthusiastically in anticipation of CHIPS incentives, announcing and initiating dozens of projects totaling $200 billion in private investment in the U.S.

SIA looks forward to working with the Commerce Department to ensure the CHIPS Act is implemented in an effective, efficient, and timely manner. Doing so will help reinvigorate U.S. chip production and innovation and deliver major benefits for America’s economy, job creation, national security, supply chain resilience, and technology leadership.

Table 1: Semiconductor manufacturing investments in the next 10 years (projects announced from May 2020-December 2022)

State Company Name City/
Investment Investment
Employment (Direct) Source
Arizona Intel Chandler
(2 fabs)
$20 billion New 3000
(2 fabs)
TSMC Phoenix $40 billion New 4500
(2 fabs)
California Western Digital Fremont/
San Jose
$350 million Expansion 240
Florida SkyWater Osceola County $36.5 million Expansion 220 Link
Idaho Micron Boise $15 billion
(through 2030)
New 2000 Link
Indiana SkyWater West Lafayette $1.8 billion New 750 Link
NHanced Odon $236 million New 413 Link
Everspin Technologies Odon Unknown New 35 Link
Trusted Semiconductor Solutions Odon $34 million New 40 Link
Kansas Radiation Detection Technologies Manhattan $4 million Expansion 30 Link
New Mexico Intel Rio Rancho $3.5 billion Expansion 700 Link
New York Micron* Clay $20 billion|(up to $100 billion over 20 years) New 9000
(4 fabs)
Global Foundries Malta $1 billion Expansion 1000 Link
North Carolina Wolfspeed Chatham County $5 billion|(over 10 years) New 1800 Link
Ohio Intel New Albany
(2 fabs)
$20 billion
(up to $100 billion over 10 years)
New 3000
(2 fabs)
Oregon Analog Devices Beaverton $1 billion Expansion 280
Rogue Valley Microdevices Medford $44 million New Unknown Gartner Fab Database
Texas Samsung Taylor $17 billion New 2000 Link
Texas Instruments Sherman
(4 fabs)
$30 billion
(through 2030)
New 3000
(for 4 fabs)
Texas Instruments Richardson $6 billion Expansion 800 Link
NXP Austin/TBD $2.6 billion Expansion 800 Link
Utah Texas Instruments Lehi $3 billion Expansion 1100 Link
TOTAL     $186.6 billion
(up to $346.6 billion)
  34,708 jobs  
Source: SIA Analysis.
*: Micron announced total investments of up to $100 billion over a time frame beyond 10 years, however this table only reflects investments made over the next decade.

Table 2: Semiconductor supplier investments in the next 10 years (projects announced from May 2020-December 2022)

State Company Name City/
Investment Material Investment
Employment (Direct) Source
Arizona Linde Phoenix $600 million Gas New Unknown Link
Sunlit Chemical Phoenix $100 million Chemical New Unknown Link
Air Liquide Phoenix $60 million Gas New Unknown Link
Chemtrade Joint Venture
Casa Grande $175-250 million Chemical New 65 Link
Chang Chun Group Casa Grande $400 million Chemical New 209 Link
LCY Chemical Casa Grande $100 million Chemical New 57 Link
Solvay Casa Grande $60 million Chemical New 30 Link
Fujifilm Electronic Materials Mesa $88 million Chemical Expansion/
R&D lab
120 Link
JX Nippon Mining & Metal Mesa Unknown Metals New 100 Link
EMD Electronics Chandler $28 million Equipment New Unknown Link
Edwards Vacuum Chandler Unknown Vacuum New 200 Link
Yield Engineering Systems Chandler Unknown Equipment New 100 Link
Connecticut ASML Wilton $200 million Equipment Expansion 1000 Link
Georgia Absolics Covington $600 million Substrates New 400 Link
Michigan Hemlock Semiconductor Thomas Township $375 million Materials Expansion 170 Link
SK Siltron CSS Bay City $300 million Wafers Expansion 150 Link
New York Edwards Vacuum Genesee County $319 million Vacuum New 600 Link
Corning Monroe County $139 million Substrates Expansion 270 Link
Oregon Mitsubishi Gas
TBD $372 million Chemicals Expansion/
New Facility
Unknown Link
Texas Global Wafers Sherman $5 billion Wafers New 1500 Link
TOTAL     $9 billion     4,971 jobs  
Source: SIA Analysis
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