The path to emancipation from the supremacy of Asian producers notably involves nearly 40 billion dollars in aid to “build, develop and modernize” industrial tools.
The law aimed at reviving the semiconductor industry in the United States, the CHIPS Act, came into force on Tuesday and provides in particular nearly 40 billion dollars in aid to “build, develop and modernize” industrial tools needed, the Commerce Department said in a statement.
The objective of the plan is to restore the United States to a preponderant place in this strategic industry, while production is today very largely concentrated in Asia, with manufacturing often taking place in China for Korean and Taiwanese companies.
“This is fundamentally an initiative in favor of our national security,” Commerce Secretary Gina Raimondo insisted during a press conference call; “Our goal is to ensure that the United States is the only country where every company capable of producing cutting-edge chips is located”.
To ensure this, the law conditions government aid on numerous criteria, some of which represent strategic choices for companies, regardless of their nationality.
Thus, those who will receive subsidies will not be able to make new investments in the field of high technologies in “countries of concern” for the next ten years.
An obligation that targets China in particular, but also Russia, North Korea and Iran.
If these companies “do not meet our expectations in terms of national security, we will not support their projects”, insisted Ms. Raimondo, “they will have to respect the export control rules”.
These rules currently affect several Chinese companies, including telecom giant Huawei. Semiconductor exports to Beijing are strictly controlled, if not banned, by US authorities.
The plan is not only aimed at remaking the United States a stronghold in the production of semiconductors. It seeks to ensure that employees of companies receiving subsidies also benefit from their effects.
Among the measures imposed on companies wishing to benefit from the aid, the law provides for the taxation of potential superprofits, the continuous training of employees and the creation of daycare centres.
“We need to increase the workforce in this sector. We therefore need an affordable childcare system because this is one of the reasons that prevents a large number of people, especially women, from working,” explained Gina Raimondo.
Passed at the end of July, the CHIPS Act provides for a total of 52 billion dollars to relaunch the production of semiconductors, in particular thanks to the creation of production centers in several American states.
The administration is counting on a significant leverage effect thanks to private investments in order to allow a rapid resumption of production.
Several large specialist groups, including the Americans Micron, AMD and Nvidia, have already announced substantial investments in this area. The world number one, the Taiwanese TSMC will build a factory in Arizona (west), for a total investment of 40 billion dollars.
