After adjusting and overturning the bills implemented during the Biden administration after taking office, the Trump administration is also considering adjusting the bills approved during the Biden administration.Chip Act (CHIPS) may affect chip manufacturers currently approved for subsidies.
According to Reuters news reportsGlobalWafers, formerly known as Sino-US Silicon Products and currently Taiwan's largest supplier of 3-inch to 12-inch silicon wafer materials, has received relevant notifications stating that the CHIP Act is currently under review because some of its conditions are inconsistent with the executive order issued by the Trump administration.
Prior to this, GlobalWafers had been approved for a subsidy of US$4.06 million through the CHIP Act, but it is now clear that due to the review of the CHIP Act, the actual receipt of the subsidy amount may be delayed, and it may even be impossible to obtain the subsidy due to eligibility issues.
Currently, companies including Samsung, Texas Instruments, and Akel International Technologies, as well as Intel, GlobalFoundries, and TSMC, have received subsidies through the CHIP Act. However, after Trump's re-election as President of the United States, there has been significant disagreement with the application requirements of the CHIP Act, which were enacted during the Trump administration. These include the requirement that companies receiving subsidies must hire unionized workers when building production lines in the United States and provide affordable childcare and other benefits to existing workers. Some even believe that tariff adjustments are sufficient to attract more chip companies to set up factories in the United States, eliminating the need for subsidies through the CHIP Act.
However, the Trump administration has not yet announced any adjustments to the CHIP Act, so it is not yet possible to confirm the extent of the CHIP Act's changes or whether it will have any impact on businesses that have previously been approved for subsidies.
