Hemlock Semiconductor is the only U.S.-owned manufacturer of hyper-pure polysilicon and is one of just five companies in the world producing polysilicon to the purity level needed to serve the leading-edge semiconductor market.
The CHIPS award will support the construction of a new manufacturing facility in Hemlock and is expected to create approximately 180 manufacturing jobs and over 1,000 construction jobs.
"This funding is a game changer for mid-Michigan. With it, we are making sure that Michigan will lead the world in manufacturing, and we are creating good-paying jobs for over 1,000 hard-working families," said Congresswoman Kristen McDonald Rivet. "Hemlock Semiconductor has reinforced their commitment to our community with an investment that will pay dividends for generations of Michigan workers. In Congress, I will continue fighting to protect American jobs and make sure that we manufacture more here in Michigan, not China."
The award follows the previously signed preliminary memorandum of terms, announced in October. The Department of Commerce will distribute the funds based on HSC's completion of project milestones.
"CHIPS for America's investment in HSC will help advance supply chain security by ensuring the U.S. has a reliable, domestic supply of polysilicon — the bedrock of semiconductors," said U.S. Secretary of Commerce Gina Raimondo. "Establishing a domestic source of these materials is important for development of leading-edge chip applications, which helps bolster our economic and national security. Through targeted investments like this, the Biden-Harris Administration is driving technological innovation in industries of the future and creating jobs across the country."
The new facility will be dedicated to the production and purification of hyper-pure semiconductor-grade polysilicon. Polysilicon is the foundational material for microprocessors, artificial intelligence chips, and memory and power devices. The investment is expected to benefit several Michigan industries, including the auto industry.
"Michigan workers are the best in the world. We know how to make things well and with precision, and this major federal investment reflects that expertise," said Sen. Gary Peters. "I'm thrilled that this funding I fought to secure is officially on its way to Hemlock Semiconductor to help expand its production of hyper-pure polysilicon and strengthen our domestic supply chains for critical semiconductor technologies, while creating thousands of good-paying jobs for people in our state."
In October, senior administration officials expected the construction of the new facility to begin in 2026. Production should begin in 2028, with full production capacity by the end of 2028 or in early 2029.
"We are pleased to announce the signing of a direct funding agreement with the Department of Commerce under the CHIPS Act. This agreement is a key milestone in enhancing our manufacturing capabilities as we continue to serve the leading-edge semiconductor market with high quality and sustainably made polysilicon," said HSC Chairman and CEO AB Ghosh. "The new facility will play a crucial role in strengthening the semiconductor supply chain in the United States. The support from the Department of Commerce and our dedicated partners at all levels of government has been instrumental in making this possible. We look forward to contributing to the revitalization of the domestic supply chain, creating good-paying jobs and driving technological leadership in the semiconductor industry."
For more information about the award, visit the CHIPS for America website.
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