Bipartisan concern in the United States over supply-chain vulnerabilities and competition with China resulted in enactment of the CHIPS and Science Act, which allocates $52.7 billion to incentivize semiconductor investment, manufacturing, and research and development. The Commerce Department began accepting applications for leading-edge facilities on March 31, 2023, and full applications for current-generation, mature-node, and back-end production facilities will be accepted on a rolling basis beginning June 26, 2023. The European Union is also in the process of finalizing its Chips Act to mobilize €43 billion via both EU-level and member-state funding mechanisms.
Firms in Europe and the United States began announcing new investments well before this legislation was finalized. Investment in new manufacturing facilities (known as fabs) has ripple effects, attracting the necessary suppliers of important chemical inputs, and in turn helping to reshore domestic manufacturing.
GMF Technology identified the need for a centralized repository to track and compare semiconductor investments in the United States and Europe beginning in 2020 and over a long timeframe —one that includes the location, investment amount, type of fab/chip, and estimated number of jobs, both direct and related. As subsidies are attributed through the respective CHIPs Acts, these figures will be added to the map.
