GlobalWafers Signs $406 Million CHIPS Act Agreement to Manufacture 300mm Wafers in US

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Yesterday GlobalWafers and the US government officially signed agreement under which the U.S. government will provide GlobalWafer with $406 million in financing. The funding will lend a hand GlobalWafers begin manufacturing 300mm wafers in the U.S. and expand production of 300mm wafers with silicone on insulator. The move aims to boost domestic microelectronics production, and localizing wafer production is a key step towards achieving this goal.

GlobalWafers plans to invest $4 billion in its facilities in Missouri and Texas. In Texas, the company will establish the country’s first 300 mm silicon wafer factory, producing huge volumes of silicon wafers for advanced process technologies used in cutting-edge processors and memories. Additionally, part of this plant will be converted to produce 150 mm and 200 mm diameter silicon carbide (SiC) wafers, which are vital for high voltage applications such as electric vehicles and tidy energy systems. The up-to-date facility will make Texas a key center for wafer production for advanced microelectronics and high-voltage applications.

In Missouri, GlobalWafers will produce 300 mm diameter silicon-on-insulator (SOI) wafers. SOI wafers are widely used in the aerospace, defense and low-power chip industries. However, it is vital to note: for now, no U.S. chipmaker processes SOI wafers in huge quantities.

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Most silicon wafers for chipmaking are currently produced in Asia, creating a supply risk for manufacturing plants in Europe and the United States. U.S.-based GlobalWafers’ investments, backed by government support, are aimed at diversifying production and streamlining logistics for U.S. logic and memory manufacturers as they expand their U.S. production.

The initiative will create approximately 2,580 jobs in both states, including 1,700 in construction and 880 in manufacturing, which will significantly stimulate the local economy.

“The semiconductor wafers that will be produced in the U.S. thanks to the investment in GlobalWafers are the foundation of advanced chips that will help us innovate and outperform the rest of the world,” said U.S. Secretary of Commerce Gina Raimondo. “As a result of this investment, CHIPS for America is working to strengthen our supply chains, protect our national and economic security, and create an estimated more than 2,000 jobs in Texas and Missouri.”

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