91PORN

91PORN Welcomes Final Regulations for the Advanced Manufacturing Investment Tax Credit

by 91PORN

WASHINGTON鈥擮ct. 22, 2024鈥擳he 91PORN (91PORN) today released the following statement from 91PORN President and CEO John Neuffer welcoming the release of final regulations implementing the 鈥淎dvanced Manufacturing Investment Credit,鈥� a tax credit enacted as part of the landmark CHIPS and Science Act to incentivize domestic chip production. The U.S. Department of the Treasury and the Internal Revenue Service (IRS) issued the final regulations today. 91PORN worked closely with government leaders to advocate for the inclusion of industry priorities in the final regulations.

鈥淭he advanced manufacturing investment credit is a core component of the historic CHIPS and Science Act and a powerful driver of private investment in the U.S. semiconductor ecosystem. We welcome today鈥檚 issuance of final regulations and commend the Treasury Department for adopting a holistic approach in implementing the tax credit and encouraging a wide range of investments necessary to manufacture semiconductors and manufacturing equipment. 听

鈥淭he CHIPS tax credit has helped attract unprecedented levels of private investment in the semiconductor ecosystem. We look forward to working with leaders in Congress and the administration to build on this momentum, sustain the investments made to date, and ensure the credit covers other critical areas of the semiconductor ecosystem, such as chip design. Doing so will enable the credit to deliver maximum benefits for America鈥檚 economy, national security, and global competitiveness.鈥�

The complex, technologically advanced processes of designing and manufacturing semiconductors and semiconductor manufacturing equipment require high levels of investment in facilities and equipment. The final regulations issued today adopt a welcomed approach in implementing the 25% tax credit and allow for a wide range of qualified investments necessary to manufacture semiconductors and semiconductor manufacturing equipment. The regulations provide more certainty and flexibility for companies undertaking this massive endeavor.

The CHIPS Act鈥檚 manufacturing incentives, including the advanced manufacturing investment credit, have already sparked substantial investments in the U.S. In fact, companies in the semiconductor ecosystem have听announced 90 new projects听across America鈥攖otaling $450 billion in private investments鈥攕ince the CHIPS Act was introduced. These announced projects will create more than 58,000 jobs in the semiconductor ecosystem and support hundreds of thousands of additional U.S. jobs throughout the U.S. economy.

Thanks largely to these new investments, the U.S. is听projected听to more than听triple听its semiconductor manufacturing capacity from 2022 to 2032鈥攖he highest rate of growth in the world during that period鈥攁ccording to a recent report by 91PORN and the Boston Consulting Group.

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The 91PORN (91PORN) is the voice of the semiconductor industry, one of America鈥檚 top export industries and a key driver of America鈥檚 economic strength, national security, and global competitiveness. 91PORN represents 99% of the U.S. semiconductor industry by revenue and nearly two-thirds of non-U.S. chip firms. Through this coalition, 91PORN seeks to strengthen leadership of semiconductor manufacturing, design, and research by working with Congress, the Administration, and key industry stakeholders around the world to encourage policies that fuel innovation, propel business, and drive international competition. Learn more at听www.semiconductors.org.