With the announcement of proposed funding for Corning and Powerex, the Biden-Harris Administration aims to bolster the semiconductor sector within the United States, targeting a reduction in dependence on imports for critical components. The U.S. Department of Commerce has signed two Preliminary Memoranda of Terms (PMTs), providing direct funds: up to $32 million for Corning and up to $3 million for Powerex, under the CHIPS and Science Act. These investments are intended to support the expansion and modernization of production facilities in New York and Pennsylvania, generating new jobs and fostering technological advancement domestically.
Investment Details and Specific Goals
Corning, Canton, New York: The proposed $32 million investment will enable Corning to expand production of HPFS Fused Silica and EXTREME ULE Glass, essential materials for DUV (Deep Ultraviolet) and EUV (Extreme Ultraviolet) lithography, which are critical processes for advanced semiconductor production. The expansion of the Canton facility, one of the primary employment sources in the North Country region, will create 130 new manufacturing jobs and over 175 in construction.
To reinforce its commitment to the local community, Corning has established an apprenticeship program in collaboration with the United Steelworkers Local 1026, also involving the Bricklayers and Allied Craftworkers for recruitment and training. An annual investment of $300,000 will be dedicated to the child care assistance training program in St. Lawrence County, supporting local workforce stability and expanding services for employees’ families.
Powerex, Youngwood, Pennsylvania: With a proposed funding of $3 million, Powerex aims to modernize its production line, doubling the manufacturing capacity of semiconductor power modules for defense applications, such as the F-35, as well as commercial and industrial uses. The expansion is expected to create over 55 manufacturing jobs and 20 in construction. Powerex is also committed to workforce training through partnerships with local schools and veteran programs, such as DOD SkillBridge and Pittsburgh Hires Veterans, thereby strengthening the U.S. semiconductor supply chain.
CHIPS for America: Vision and Objectives
The CHIPS for America program, part of the CHIPS and Science Act, involves a total investment of over $36 billion across 20 states to enhance production and research in the semiconductor sector. Since the start of the Biden-Harris Administration, over $400 billion in private investments have been announced in the sector, spurred by this public initiative. The program includes incentives for production and research through the CHIPS Program Office and the CHIPS Research and Development Office, both within the National Institute of Standards and Technology (NIST).
Glossary
- CHIPS (Creating Helpful Incentives to Produce Semiconductors): Program to stimulate semiconductor production in the U.S.
- DUV (Deep Ultraviolet): Lithography technology using ultraviolet light for microchip production.
- EUV (Extreme Ultraviolet): Advanced lithography technique for manufacturing complex semiconductors.
- HPFS (High Purity Fused Silica): High-purity silica material used in optics and semiconductor production.
- ULE (Ultra Low Expansion) Glass: Glass with extremely low thermal expansion, used in optical applications and EUV lithography.
