GlobalWafers Co has finalized a deal with the US Commerce Department for nearly $406 million in government grants to boost domestic production of silicon wafers.
Funds will go towards supporting the Taiwan-based firm’s plans to build factories in Texas and Missouri for production of such wafers, used in advanced semiconductors.
The sites would establish the first high-volume US-based production of 300-mm wafers and expand silicon-on-insulator wafer output, according to the Commerce Department.
GlobalWafers has committed $4 billion worth of investment to setting up the production sites, with the deal firming up Chips Act funding initially unveiled in July.
“In countries with high demand for silicon wafers, local supply will be prioritized and supported by local customers,” GlobalWafers chief executive Doris Hsu commented.
Hsu also cited advantages of localizing production as potential tariffs sparked by Donald Trump’s return to the White House threatened to hamper chip supply chains, but warned of uncertainties around sourcing parts.