Significant progress has been made in the US simplified chip subsidy act

    After shelving for two years, the U.S. Senate agreed to promote a streamlined version of the semiconductor subsidy bill.

    On July 19, the Senate agreed to promote the chips plus bill by 64 votes in favor and 34 votes against. The bill includes about $52billion in subsidies to U.S. semiconductor companies and a new four-year 25% tax credit to encourage companies to build factories in the United States. Tax credits are estimated to be worth about $24billion.

    Next, the Senate will hold a final vote on chips plus, which will then be submitted to the house of Representatives. Some officials urged it to be passed as soon as possible before the Congress recess in August. Chip companies have stepped up lobbying in the past few weeks.

    Reva Goujon, a senior manager of the U.S. research and consulting organization Rongding group, said that this procedural vote was to measure whether the Senate could have at least 60 supporting votes. If you meet this standard, you can vote in the Senate.

    In order to cope with the shortage of chips, the United States issued the "create beneficial semiconductor production act for the United States" (chips) two years ago, calling for improving the manufacturing and R & D of American semiconductors. Chips plus is its compact version. The final version of this edition was not made public before the vote on the 19th. However, the $52billion subsidy and $24billion tax credit have basically reached a consensus. The focus of the industry is on what is added to the so-called "plus".

    According to the content circulated earlier, it may include banning companies subsidized by the United States from investing in Chinese Mainland or expanding the production of chips from wafer factories below 28nm. Reva Goujon, the aforementioned manager of Rongding group, said that it is important to see whether the final text involves providing funds for fabless chip design companies and what specific conditions are attached to the funds.