The U.S. Department of Commerce has requested input that will help in planning programs to provide incentives for investment in the semiconductor industry.
The Department issued a Request For Information on a semiconductor finance assistance program, a National Semiconductor Technology Center and an advanced packaging manufacturing program, among many other initiatives.
"The United States faces both an immediate supply shortage that's driving up prices and a long-term threat to America's economic and national security if we don't increase domestic supply of chips," Secretary of Commerce Gina Raimondo said.
The Biden administration also has asked for full funding of the CHIPS Act Program to strengthen the country's position in semiconductor manufacturing, and research and development. "We urge Congress to pass the president's proposed $52 billion in funding for domestic semiconductor production as part of legislation similar to the U.S. Innovation and Competition Act," Raimondo said.
Semiconductors are essential components of most modern technology. The semiconductor industry in the country has historically dominated several other important industries like chip design, research and development, and manufacturing.
The U.S. semiconductor industry has faced several challenges over the past few years. For example, the U.S. accounted for 13% of global semiconductor fabrication capacity in 2015, but that was reduced to 11% in 2019.
