According to foreign media reports, the US President officially signed the "CHIPS and Science Act of 2022" at around 10 a.m. Washington time on August 9, 2022.
report pointed out that hundreds of people attended the signing ceremony, including members of two parties in the U.S. Congress, senior executives of technology companies, union chairmen, political leaders, etc. Among them, Minister of Commerce Gina Raimondo and CEO of SparkCharge, electric vehicle charging system company, made speeches one after another.
In addition, senior executives including Sanjay Mehrotra, the leading processor Intel CEO of Pat Kirsinger (Pat Gelsinger ), the big server and computer HP CEO Enrique Lores, the big processor AMD Chairman and CEO of the processor Su Zifeng and the big military industry maker Lockheed Martin CEO James Taiclet also watched the ceremony.
report pointed out that after the bill is passed, it will provide more than $52 billion in funding to local technology companies producing computer chips on behalf of local U.S. technology companies, as well as billions of dollars in tax credits to encourage investment in semiconductor manufacturing. It also provides high funds to fund scientific research and development and stimulate innovation and development in other American technologies.
Comprehensive Reuters , " Washington Post " reported on August 9 that White House html issued a statement on the 29th saying that the bill will provide US$52.7 billion for the research and development, manufacturing and labor development of US semiconductors. $39 billion of this will go to incentives for semiconductor manufacturing and $2 billion for traditional chips used in automobiles and defense systems. In addition, companies that set up chip factories in the United States will receive a 25% tax cut.
According to the US financial website CNBC, just after the US president completed the signing of the Chip and Science Act 2022, the memory manufacturer Micron immediately announced that it will invest US$40 billion in the US from now until 2030. The investment is expected to create up to 40,000 jobs in the U.S., including 5,000 highly paid technical and operational positions.
The company said that the new capacity will increase the market share of US memory production from 2% to 10%. Micron is expected to start production of new capacity after 2025. Regarding the investment plan, Micron also added that the specific investment plan will be officially proposed within a few weeks.
"Guardrail Terms" come into effect. Many semiconductor equipment manufacturers have received a new wave of export restrictions on China
The White House has emphasized many times before that this bill is crucial to counter China's influence and ensure that the United States remains ahead in competition. They highlighted the importance of the bill to national security to members of Congress in several briefings.
Reuters said that the legislation also authorized to allocate approximately $200 billion over the next 10 years to promote scientific research in the United States to better compete with China. Congress still needs to pass separate appropriation legislation to fund these investments.
According to foreign media reports, just as the US president officially signed the chip bill, major US semiconductor equipment manufacturers have also generally received a ban on exports of more advanced process production equipment from the US Department of Commerce to mainland China for more advanced process production equipment of 14 nanometers and below.
report pointed out that Tim Archer, CEO of Colin Research and Development (Lam Research), told market analysts at the financial report meeting, "We have recently received a notice that the relevant equipment used in advanced process fabs under 14 nanometers will be expanded to expand technology export restrictions to China." Colin Research and Development is also ready to fully comply with the ban and is working with the US government.
In addition, according to people familiar with the matter, in the past two weeks or so, all U.S. semiconductor equipment manufacturers have received letters from the Department of Commerce asking them not to supply manufacturing equipment for the production of advanced chips below 14 nanometers to China. These manufacturers said that the Ministry of Commerce has actually rejected export licenses for many advanced process equipment below 14 nanometers. Therefore, this change has little impact on most companies' current financials.
Senior executives of Colin's R&D stressed that they have included the impact of US requirements in their operational outlook for the next quarter. However, there is no detailed explanation for this. In addition, KLA CEO Rick Wallace also confirmed at the financial report meeting that the company has received relevant notices from the US government a few days ago, saying that this has no significant impact on KLA's business.
In fact, although the latest US chip bill provides a subsidy of $52 billion to support the production of advanced chips in the United States. However, the bill also has a "guardrail clause", that is, companies that receive federal subsidies from the United States shall not expand or increase the advanced chip production capacity in China within 10 years. Therefore, the new wave of the US government's ban on exports of more advanced process production equipment below 14 nanometers seems to be to further limit the possibility of mainland China's development of the semiconductor industry.
