Hemlock Semiconductor Receives $325 Million CHIPS Act Grant to Boost U.S. Semiconductor Production

Funding to Strengthen U.S. Semiconductor Supply Chain
Hemlock Semiconductor (HSC), the only U.S.-based producer of hyper-pure polysilicon, has been preliminarily awarded $325 million under the CHIPS Act. This substantial grant aims to strengthen domestic semiconductor manufacturing and reduce dependence on international supply chains. The funding will be used to construct a new facility on HSC’s existing campus in Hemlock, Michigan. This facility will focus on scaling up the production of hyper-pure polysilicon, a critical material in the production of artificial intelligence (AI) chips, microprocessors, and memory devices, all vital to the tech and electronics sectors.

Impact on U.S. Economy and Job Creation
Significant Economic Boost for Michigan
Once finalized, the investment is expected to generate approximately 180 high-skill manufacturing jobs and over 1,000 construction jobs, providing a significant economic boost to Michigan. The expanded facility will not only enhance the U.S. semiconductor supply chain but also ensure the development of a skilled workforce to support the growth of high-tech industries, which rely heavily on polysilicon for chip production.

CHIPS Act and U.S. Technological Competitiveness
Enhancing Domestic Production and National Security
The CHIPS Act is a critical part of the U.S. government’s strategy to bolster the domestic semiconductor industry. The initiative focuses on funding semiconductor research, development, and manufacturing within the United States, aiming to reduce the reliance on foreign suppliers and improve national security by securing critical technologies. Hemlock Semiconductor’s expansion, through this grant, is poised to play a pivotal role in ensuring the U.S. semiconductor sector remains competitive in the global market.

Strategic Investment for Future Technologies
Strengthening U.S. Position in Emerging Markets
The expanded polysilicon production will support the U.S. in meeting the growing demand for semiconductors, especially in industries such as artificial intelligence, computing, and electric vehicles. As semiconductor-grade materials are essential to the production of high-tech applications, this investment is a strategic move to ensure the U.S. retains its position as a technological leader.