CHIPS Investment of Up to $1.5 Billion Will Support Multiple Projects in New York and Vermont and Create Approximately 10,000 Good Construction and Manufacturing Jobs
“By investing in GlobalFoundries’ domestic manufacturing capabilities, we are significantly contributing to the establishment of a secure and stable domestic supply chain for semiconductors, integral components utilized in everything from everyday home electronics to advanced military systems,” stated U.S. Secretary of Commerce Gina Raimondo. “Under the exemplary leadership of President Biden and with the support of the CHIPS for America initiative, we are strategically fortifying every segment of the semiconductor supply chain to align with our national security goals and elevate the U.S. position as a leader in innovation and competition globally.”
“After experiencing significant semiconductor supply chain disruptions during the pandemic that led to critical shortages affecting a wide range of products—including cars and washing machines—President Biden took decisive action by advancing the CHIPS and Science Act to revitalize semiconductor manufacturing in the United States,” explained White House Deputy Chief of Staff Natalie Quillian. “Today’s announcement is a clear indication of the Biden-Harris Administration’s ongoing commitment to rejuvenating American manufacturing, enhancing our supply chains, and generating thousands of high-quality jobs in New York, Vermont, and other communities across the nation.”
The Department’s investment in GlobalFoundries marks a pivotal advancement in U.S. economic and national security, as it aims to escalate domestic manufacturing capabilities, bolster supply chain resilience, and bring essential technologies back to American soil for the first time, highlighted as critical by defense and intelligence agencies. This strategic investment encompasses a modern, state-of-the-art manufacturing facility in New York, the expansion and modernization of an existing facility also in New York, and upgrades to operations in Vermont. It is anticipated that this investment will yield approximately 9,000 construction jobs and 1,000 manufacturing positions, aligning with the efforts of the Upstate New York Investing in America Workforce Hub, which focuses on equipping New Yorkers with the skills necessary for lucrative careers across the semiconductor supply chain.
For further details regarding the GlobalFoundries award, please visit the CHIPS for America website: here and here.
“The vision of enhancing U.S. semiconductor manufacturing has evolved over the past five years with the backing of both political parties. This vision materialized into the CHIPS and Science Act,” remarked Dr. Thomas Caulfield, president and CEO of GlobalFoundries. “The chips produced by GF are fundamental to the economic stability, supply chain integrity, and national security of the United States. We deeply value the support and financial backing from the U.S. government, alongside the states of New York and Vermont, which will empower us to provide our customers with the essential American-made chips crucial for their success.”
As detailed in the CHIPS Notice of Funding Opportunity for Commercial Fabrication Facilities, the CHIPS for America initiative will allocate direct funding to recipients based on milestones related to construction, production, and commercialization. This program will meticulously monitor the performance of each CHIPS Incentives Award through comprehensive financial and programmatic reporting, adhering to established award terms and conditions.
About CHIPS for America
CHIPS for America has successfully disbursed over $10 billion of the more than $36 billion in proposed incentives funding allocated thus far. These investments across 20 states are anticipated to create over 125,000 job opportunities. Since the initiation of the Biden-Harris Administration, semiconductor and electronics companies have declared over $450 billion in private investments, significantly spurred by public funding. The CHIPS for America program is an integral part of President Biden and Vice President Harris’s comprehensive economic strategy aimed at bolstering domestic investment, stimulating private sector growth, providing well-paying job opportunities, and revitalizing underprivileged communities. This initiative encompasses the CHIPS Program Office, which focuses on manufacturing incentives, and the CHIPS Research and Development Office, which addresses R&D programs, both of which operate within the National Institute of Standards and Technology (NIST) at the Department of Commerce. For more insights, visit chips.gov.
In what ways does the CHIPS for America initiative align with GlobalFoundries’ long-term goals for semiconductor manufacturing in the U.S.?
**Interview with Dr. Thomas Caulfield, President and CEO of GlobalFoundries**
**Interviewer:** Thank you for joining us today, Dr. Caulfield. There’s a significant investment of up to $1.5 billion in semiconductor manufacturing announced for New York and Vermont, which is set to create approximately 10,000 new jobs. Can you tell us how this investment will impact the semiconductor supply chain in the U.S.?
**Dr. Caulfield:** Thank you for having me. This investment is indeed a pivotal moment for the semiconductor supply chain in the United States. It enables us to enhance our domestic manufacturing capabilities substantially. With the new and upgraded facilities we’re establishing in New York and Vermont, we can produce essential semiconductors right here at home, reducing our reliance on foreign suppliers. This is critical not only for the economy but also for our national security, especially as semiconductors are foundational components in everything from everyday electronics to advanced military systems.
**Interviewer:** It’s been reported that this effort is part of the broader CHIPS for America initiative led by the Biden administration. How does this initiative align with your company’s vision?
**Dr. Caulfield:** The CHIPS for America initiative supports a vision we’ve had for several years—to bolster U.S. semiconductor manufacturing. This initiative has united both political parties and highlights the importance of securing our supply chains. Our investments will help ensure that the chips we produce are integral to the economic stability of the United States while also providing high-quality jobs. We see this as an opportunity to lead in innovation and competition globally while providing essential American-made products to our customers.
**Interviewer:** There have been remarks from U.S. Secretary of Commerce Gina Raimondo about the necessity of a secure and stable supply chain following the disruptions experienced during the pandemic. How does GlobalFoundries plan to contribute to this stability?
**Dr. Caulfield:** We are deeply committed to contributing to a resilient supply chain. By investing heavily in modern manufacturing capabilities and focusing on local talent development, we are addressing past vulnerabilities. We’re preparing to create around 9,000 construction jobs and 1,000 manufacturing positions, which speaks to our commitment to not just revitalizing our facilities, but also equipping the local workforce with the skills they need for the future.
**Interviewer:** That sounds promising for the communities involved. what message do you want to convey to those who are skeptical about the U.S. manufacturing resurgence?
**Dr. Caulfield:** I understand that skepticism can arise from past experiences of offshoring and supply chain disruption. However, this initiative represents a real, committed turnaround. With the backing from the federal government and cooperation from state authorities, we are placing manufacturing back in the U.S. I believe that the jobs created and the innovation spurred from these investments will showcase the strength and potential of American manufacturing, reinforcing the idea that we can indeed lead in this crucial sector once again.
**Interviewer:** Thank you, Dr. Caulfield, for sharing your insights. It’s clear that the investment from GlobalFoundries is shaping an exciting future for semiconductor manufacturing in the U.S.
**Dr. Caulfield:** Thank you for having me. Together, we are embarking on a vital journey for the future of technology and job creation in America.
