SEMI Supports Introduction of FABS Act in US Senate to Spur Semiconductor Manufacturing Growth
MILPITAS, Calif., June 17, 2021 -- SEMI, an industry association serving the global electronics design and manufacturing supply chain, today expressed strong support for the Facilitating American-Built Semiconductors (FABS) Act. The bill, introduced by Senate Finance Committee Chairman Ron Wyden (D-Ore.) and Ranking Member Mike Crapo (R-Ida.), and co-sponsored by Senators Mark Warner (D-Va.), John Cornyn (R-Tex.), Debbie Stabenow (D-Mich.) and Steve Daines (R-Mont.), would create a 25% federal tax credit, with an election to receive the tax credit as a direct payment, for investments in semiconductor manufacturing facilities and equipment, as well as facilities and equipment to produce semiconductor manufacturing tools.
“SEMI commends Chairman Wyden, Ranking Member Crapo, and Senators Warner, Cornyn, Stabenow and Daines for their leadership to introduce a broad investment tax credit that will strengthen U.S. semiconductor supply chains and help U.S. policies keep pace with incentive proposals around the world,” said Ajit Manocha, SEMI president and CEO. “As lead times and demand for new tools grow, ensuring that upstream tool manufacturers can claim the tax incentive is particularly important.”
“We strongly support the FABS Act and look forward to working with the Senate, the House of Representatives and the Biden Administration to pass this critical legislation,” Manocha said.
SEMI connects more than 2,400 member companies and 1.3 million professionals worldwide to advance the technology and business of electronics design and manufacturing. SEMI members are responsible for the innovations in materials, design, equipment, software, devices, and services that enable smarter, faster, more powerful, and more affordable electronic products. Electronic System Design Alliance (ESD Alliance), FlexTech, the Fab Owners Alliance (FOA) and the MEMS & Sensors Industry Group (MSIG) are SEMI Strategic Technology Communities, defined communities within SEMI focused on specific technologies. Visit www.semi.org to learn more.