2024年美国半导体产业报告 STATE OF THE U.S. SEMICONDUCTOR INDUSTRY

STATEOFTHEU.S.SEMICONDUCTORINDUSTRY

20

24

TABLEOFCONTENTS

2024STATEOFTHEU.S.SEMICONDUCTORINDUSTRY3

6CHIPSIMPLEMENTATION

11THESEMICONDUCTORWORKFORCE

13EXPANDINGTHETALENTPIPELINE

16PROMOTINGSUSTAINABILITY

17SUPPLYCHAINREBALANCING

19GOVERNMENTSRACETODEVELOPCHIPSTRATEGIESANDINCENTIVES

21TRADEANDSEMICONDUCTORS

22GEOPOLITICSANDTHESEMICONDUCTORINDUSTRY

23THEGLOBALSEMICONDUCTORMARKET

24SEMICONDUCTORDEMANDDRIVERS

27GLOBALMARKETSHARE

28U.S.TECHNOLOGYCOMPETITIVENESS

30U.S.SEMICONDUCTORINDUSTRYDOMESTICECONOMICCONTRIBUTION

31U.S.SEMICONDUCTORINNOVATIONPOLICYLANDSCAPE

INTRODUCTION

2024STATEOFTHEU.S.SEMICONDUCTORINDUSTRY4

SEMICONDUCTORS—THECHIPSTHATENABLE

VIRTUALLYALLMODERNTECHNOLOGIES—

areoneofthemosttransformativeinventionsinallofhumanhistory.Thankstogroundbreaking

advancementsinsemiconductorresearch,design,

andmanufacturingoverthelast65years,

modernchipscanhaveuptotensofbillionsoftransistorsonasmallsliceofsilicon.

Therapidpaceofsemiconductorinnovationhasmadetheworldsmarter,healthier,

greener,andbetterconnected.Andchipsarepoweringthetransformativetechnologies

oftomorrow,includingartificialintelligence,autonomousdrivingandelectricvehicles,andadvancedwirelessnetworks.

In2023,despiteacyclicalmarketdownturn

thatlingeredearlyintheyear,globalsales

reboundedthesecondhalfoftheyeartoreach$527billion.Nearly1trillionsemiconductors

weresoldglobally,morethan100chipsfor

everypersononearth.Withthedownturnnowoveranddemandforsemiconductorshigh,

industryanalystsprojectdouble-digitannualgrowthin2024.

Risingdemandhasalsopromptednew

industryinvestmentstoincreasechip

production.ThanksinparttothelandmarkCHIPSandScienceAct,theUnitedStatesisforecasttosecurealargershareof

newprivateinvestmentinsemiconductormanufacturing.Infact,asofAugust

2024,companiesinthesemiconductor

ecosystemhadannouncedmorethan90newmanufacturingprojectsintheU.S.sinceCHIPSwasfirstintroducedinCongress,totaling

nearly$450billioninannouncedinvestmentsacross28states.Theseinvestmentsare

projectedtocreatetensofthousandsofdirectjobsandsupporthundredsofthousandsof

additionaljobsthroughouttheU.S.economy.Theindustryisalsomakinginvestmentsin

countriesaroundtheworld,creatingaresilientsupplychain.

InthedecadefollowingCHIPSenactment

(2022to2032),theUnitedStatesisprojected

tomorethantripleitssemiconductor

manufacturingcapacity—thehighestrateofgrowthintheworldduringthatperiod—accordingtoaMay2024SIA-Boston

ConsultingGroupreport.ThereportalsoforecaststheU.S.willgrowitsshareof

advanced(lessthan10nm)chipmanufacturingto28%ofglobalcapacityby2032andcapture28%oftotalglobalcapitalexpenditures

(capex)from2024to2032.Bycomparison,intheabsenceoftheCHIPSAct,thereportestimatestheU.S.wouldhavecapturedonly9%ofglobalcapexby2032.

ReinforcingchipsupplychainsonU.S.shoresofferstremendousopportunities,butitalsopresentssignificantchallenges.Forexample,asU.S.chipoperationsexpandintheyears

2024STATEOFTHEU.S.SEMICONDUCTORINDUSTRY5

ahead,sotoowilldemandforskilledtalent.

A2023SIA-OxfordEconomicsstudyprojectedashortfallof67,000technicians,computer

scientists,andengineersinthesemiconductorindustryby2030andagapof1.4millionsuchworkersthroughoutthebroaderU.S.economy.Forthesemiconductorindustrytogrowand

innovateatitsfullpotential,andfordomesticinvestmentprojectionstobefullyrealized,

governmentleadersmustadvancepoliciesthatbuildonourindustry’slongstanding

workforcedevelopmentefforts,expandthepipelineofSTEMgraduatesinAmerica,andretainandattractmoreofthetopengineersandscientistsfromaroundtheworld.

Policyactionisneededinotherareasaswellifwearetobuildonourcurrentmomentum.TheU.S.shouldadoptmeasurestofurther

strengthenthesemiconductorsupplychainbyextendingthedurationoftheincentivesundertheCHIPSandScienceAct,includingtheadvancedmanufacturinginvestment

credit,whichisscheduledtoexpirein2026.

Further,theexistingCHIPStaxcreditshouldbeexpandedtoincludechipdesigntoensuremoreofthiscriticalprocessisconductedintheU.S.Inaddition,theU.S.shouldcontinuetofundthefederalresearchprograms

authorizedintheCHIPSandScienceActto

maintainandgrowU.S.technologyleadership.AndtoensuretheU.S.semiconductor

industryremainsgloballycompetitiveand

abletocontinuouslyinvestinresearchand

innovation,theU.S.shouldpursueagreementsandinitiativesthatopenaccesstooverseas

marketswherecompaniescansellthechipsmanufacturedhereathome.

Semiconductorshaveneverplayedamore

importantroleinsocietythantheydotoday,andthefutureofourindustryhasneverbeenbrighter.SIAlooksforwardtocontinuing

toworkwithgovernmentleadersto

strengthenthisfoundationalindustryformanyyearstocome.

2024STATEOFU.S.SEMICONDUCTORINDUSTRY6

CHIPS

IMPLEMENTATION

ImplementationoftheCHIPSandScienceActcontinuesin2024,withsignificantheadwaymadeinrollingoutthelaw’slandmarkmanufacturingincentivesandR&Dinvestments.

2024STATEOFTHEU.S.SEMICONDUCTORINDUSTRY6

CHIPSIMPLEMENTATION

MANUFACTURINGINCENTIVES

TheCHIPSProgramOffice(CPO)continuestomakeprogressinitsdeploymentofthe

$39billionCHIPSmanufacturingincentivesprogram.Consistentwiththegoalsofthe

law,theCHIPSandScienceActincentives

announcedthusfarwillenhancenational

security,createjobs,boostU.S.andlocal

economies,andmakeAmericastrongerandmoretechnologicallyadvanced.

Applicationsforcommercialfabrication

facilitiesandequipmentandmaterials

manufacturingfacilitiesarenolongerbeingaccepted.AsofAugust2024,theCPO

hasannounced17preliminaryagreements

representingover$32billioningrantsand

$28billioninloansacross26projectsin16

states.Theseprojectsincludeprojectedtotalinvestmentofmorethan$350billionand

areexpectedtocreateover118,000newjobs--over38,000manufacturingjobsandover78,000constructionjobs.Afterstrikinga

preliminaryagreement,companiesengageinfurtherduediligenceandnegotiationwiththeCommerceDepartmentbeforereachingafinaldeal.TheCPOplanstocommitallfundsbytheendof2024.

Duetostrongdemandforfundingthroughoutthesupplychainandlimitedavailablefunding,CPOunfortunatelyannouncedthesuspensionofafundingopportunityforcommercial

researchanddevelopmentfacilities.

Furthermore,theCHIPSadvanced

manufacturinginvestmentcredit(AMIC)alsoprovidesapowerfulincentiveforinvestmentsinfabricationandequipmentmanufacturingfacilities.Asofthedateofpublication,the

industryisawaitingfinalregulationsfromtheDepartmentoftheTreasury.

2024STATEOFTHEU.S.SEMICONDUCTORINDUSTRY7

CHIPSIMPLEMENTATION

2024STATEOFTHEU.S.SEMICONDUCTORINDUSTRY8

CHIPSSPARKING

COMPANYINVESTMENTS

SincetheintroductionoftheCHIPSActin2020,companiesinthesemiconductorecosystemhaveannouncedmorethan

90projectsacross28states,totalingnearly$450billioninprivateinvestments.These

projectswillcreateover58,000ofnew,

high-qualityjobsintheU.S.semiconductorecosystemalone,aswellashundredsof

thousandsofsupportedjobsthroughoutthebroaderU.S.economy.

Thefigurebelowshowsprojectsinthe

domesticsemiconductorsupplychain

announcedbetweenMay2020andAugust2024,representingindustryinvestmentinsemiconductorfabricationandpackaging,equipmentandmaterialsmanufacturing,andR&Dfacilities.

THECHIPSACTINACTION

SEMICONDUCTORSUPPLYCHAINMANUFACTURINGINVESTMENTSANNOUNCEDMAY2020-AUGUST2024

●SemiconductorsEquipment

●Materials

R&DFacilityPackaging

CHIPSIMPLEMENTATION

R&DINVESTMENTS

AcrosstheDepartmentsofCommerceandDefense,aswellasattheNationalScienceFoundation,activitiesarerampingupforthe$13billioninR&DfundingappropriatedthroughtheCHIPSandScienceAct.

TheDepartmentofCommerceisproceedingwiththeNationalSemiconductorTechnologyCenter(NSTC),awardingit$5billion.The

NSTCisexpectedtobethecenterpieceof

theCommerceDepartment’ssemiconductorR&Dactivitiesandwillmostlikelyconsist

ofanationalnetworkofresearchfacilities,

includingaNSTCAdministrativeandDesignFacility,aNSTCEUVCenter,andaNSTC

PrototypingandNAPMPAdvancedPackagingPilotingFacility.

Commercealsoinitiatedactivitiesforits

NationalAdvancedPackagingManufacturingProgram(NAPMP).This$3billionprogram

willconsistofaseriesofinternalNational

InstituteofStandardsandTechnology(NIST)researchprogramstodistributegrantfunding,

aswellasthebrick-and-mortarpiloting

facilitywhichwillbeco-locatedwiththeNSTCprototypingfacility.

ProgressisalsounderwayfortheCHIPS

MetrologyProgram,theCHIPSDigitalTwinsManufacturingUSAInstitute,andtheDODMicroelectronicsCommons.

Takenasawhole,theseprogramswillhelpadvancesemiconductorinnovationandbuild

onU.S.technologyleadership.ForupdatedinformationontherolloutoftheresearchprogramsundertheCHIPSAct,visit

/chips-rd-programs

.

2024OFU.SEMICONDUCTORINDUSTRY9

CHIPSIMPLEMENTATION

2024STATEOFTHEU.S.SEMICONDUCTORINDUSTRY10

STRENGTHENING

THEU.S.SUPPLYCHAIN

AnewreportbySIAandtheBostonConsultingGrouponthesemiconductorsupplychainforecastssignificantimprovementsintheresilienceofthesupplychainintheU.S.and

globallyincomingyears.Inparticular,thestudyshowsinvestmentsfromtheindustry,

facilitatedbyincentivesundertheCHIPSAct,aremakingprogressingrowingdomesticsemiconductormanufacturingandstrengtheningtheU.S.economy.Amongotherthings,thereportprojectsthefollowing:

U.S.fabcapacitywillincreaseby203%from2022-2032,atriplingofU.S.capacity.The

projected203%growthisthelargestprojectedpercentincreaseintheworldoverthattime.

TheU.S.willsecuremorethanone-quarter(28%)ofglobalcapitalexpendituresbetween2024-2032—anestimated$646billion—anamountsecondonlytoTaiwan.IntheabsenceoftheCHIPSAct,theU.S.wouldhavecapturedonly9%ofglobalcapexby2032,accordingtothereport.

TheU.S.willincreaseitsshareofglobalfabcapacityforthefirsttimeindecades,growingfrom10%todayto14%by2032.IntheabsenceofCHIPSenactment,theU.S.sharewouldhaveslippedfurtherto8%by2032,accordingtothereport.

TheU.S.willgrowitscapabilitiesincriticaltechnologysegments,suchasleading-edgefabrication,DRAMmemory,analog,andadvancedpackaging.Forexample,U.S.capacityforadvancedlogic(lessthan10nm)willgrowto28%by2032,includingnewcapabilitiesattheleadingedge.

Despitethissubstantialprogress,areasofvulnerabilityintheecosystemremain,andadditionalworkisneededtomaintainthismomentumandsecurekeyareasofthechipsupplychain.

GLOBALSEMICONDUCTORCAPACITYINCREASEBYLOCATION

(%CHANGEINWSPMCAPACITY)2012-2022VS.2022-2032

365%

203%

124%

WorldAverage

22-32(108%)12-22(81%)

129%

97%

90%

86%

86%

72%

67%

62%

36%

11%

63%

U.S.EuropeJapanSKoreaTaiwanChinaOthers

Source:SEMI,BCGAnalysis

2024STATEOFTHEU.S.SEMICONDUCTORINDUSTRY11

THESEMICONDUCTORWORKFORCE

Havingacompetitivedomesticworkforceandresilient

manufacturingcapabilitiesarecriticaltoAmerica’s

leadinsemiconductors.Inaddition,astrongdomestic

semiconductorindustryisessentialtotheU.S.economy.

ThesemiconductorindustryhasaconsiderableeconomicfootprintintheUnitedStates,withroughly338,000peopleworkingintheindustry,includingrolesinchipdesign,electronicdesignautomation(EDA),semiconductormanufacturing,andequipmentmanufacturing.Additionally,semiconductorsenableover300

downstreameconomicsectorsaccountingforover26millionU.S.workers.

U.S.SEMICONDUCTORWORKFORCEBYFIELD,2023

DeviceManufacturing

200,000

MachineryManufacturing

29,000

Design

100,000

EDA

9,000

TotalJobs

338,000

050,000100,000150,000200,000250,000300,000350,000

Employment

Source:CES,QCEW,OxfordEconomics

TheU.S.semiconductorindustryaccountsformorethan300,000directU.S.jobsandnearly2millionadditionalindirectandinducedU.S.jobs.

ONE

U.S.semiconductor

jobsupports

5.7

jobsinotherpartsin

theU.S.economy...

...that’snearly

2,000,000

ADDITIONAL

Americanjobs

2024STATEOFTHEU.S.SEMICONDUCTORINDUSTRY12

2024STATEOFTHEU.S.SEMICONDUCTORINDUSTRY13

EXPANDINGTHETALENTPIPELINE

Withdemandforchipsontheriseandnewcapacitycomingonlineintheyearsahead,demandforindustry-readytalentwillalsoincrease.

Accordingtoa2023studybySIAandtheBostonConsultingGroup,theUnitedStatesfacesasignificantshortageoftechnicians,

computerscientists,andengineers,withaprojectedshortfallof67,000workersinthesemiconductorindustryby2030andagapof1.4millionsuchworkersthroughoutthebroaderU.S.economy.

U.S.SEMICONDUCTORWORKFORCEANDEXPECTEDGAP,2010-2030

JobstodateProjected67,000,or58%,

ofnewjobsacross

manufacturinganddesignwillriskgoingunfilledby2030.

450,000

CHIPSActenacted

Industrytoadd114,800jobs

by2030

400,000

350,000

Whoismissing?

Employment

300,000

Totals

13,400computerscientists

250,000

Design

5,100PhDs

12,300master’s

9,900

bachelor’s

200,000

27,300

engineers

150,000

Manufacturing

100,000

26,400

technicians

50,000

2010-20222023-2030

2024STATEOFTHEU.S.SEMICONDUCTORINDUSTRY14

Tomeetthischallengeandaddressthegrowingtalentgap,SIA

recommendsaholisticpublicpolicyapproachwiththefollowingpillars:

1.BUILDTHESUPPLYOFENGINEERS

ANDSCIENTISTS

InvestintheInnovationWorkforce:

Increaseandsustainfunding

forfederalresearchanddevelopment(R&D)programstobuildAmerica’s

innovationworkforce.

High-skilledGlobalTalent:AdoptcriticalandtargetedSTEMimmigrationreforms

toensureAmericaattractsandretainstheworld’stoptalent.

2.IMPROVEANDSIMPLIFYTRAINING

OFSKILLEDTECHNICIANS

High-qualityWorkforceTraining:Expandworkforcetrainingprogramsthatmeet

industryneeds,includingapprenticeshipsandcareerandtechnicaltraining

programs,withcommonandtransparentmetricsofperformance.

StandardizationandPortabilityofSkills:

Easethetransitionacrosseducationalinstitutionsandworkforcedevelopmentprograms.

3.CROSS-CUTTINGWORKFORCE

CHALLENGES:EXPANDINGTHEPIPELINEANDADDRESSINGAFFORDABILITY

ExpandandAdvancetheSTEMTalentPipeline:PrioritizeSTEMeducationforindividualsenteringoralreadyinthe

pipelineandexpandthepoolofpotentialworkers,includingveterans,women,

andunderrepresentedminorities.

Affordability:Removebarrierstoentryintosemiconductoreducationand

workforcetrainingprogramsthroughPellgrants,favorableloans,andotherfinancialincentives.

2024STATEOFTHEU.S.SEMICONDUCTORINDUSTRY15

SUSTAININGU.S.LEADERSHIPINSEMICONDUCTORDESIGN

Advancesinchipdesignhaveledto

breakthroughsinsemiconductor-enabled

technologiesthatareadrivingforcebehind21stcenturyU.S.technologyleadership.

ThisleadershipprovidestheU.S.withthetechnologicaledgetobethe“firstmover”incountlessindustriesandsecurethe

economicandsecuritybenefitsresultingfromthisadvantage.

Currently,U.S.companiesaccountforhalf

ofglobalchipdesignrevenue,butglobal

competitorsarechallengingthisleadership.Somecountriesprovidetaxcreditsofupto50%fordesignefforts,whiletheU.S.failstoofferatargetedincentiveforchipdesign.

TomaintainU.S.leadershipinchipdesign

—andcontinuetoderivetheenormous

economicbenefitsandstrategicadvantageofthisleadership—theU.S.mustensureithasafavorableclimateformorechipdesigntobeconductedintheU.S.

BipartisanlegislationwasrecentlyintroducedtheHouseofRepresentativestoexpandtheCHIPSAct’s25%investmenttaxcreditto

includeinvestmentsinsemiconductordesign.Passingthe“SemiconductorTechnology

AdvancementandResearch(STAR)Act”willestablishanimportantincentivetomaintainandenhancecriticalU.S.semiconductor

technologyleadership.

2024STATEOFTHEU.S.SEMICONDUCTORINDUSTRY16

PROMOTING

SUSTAINABILITY

Thesemiconductorindustryhasalonghistoryofleadership

onenvironmentalsustainability,rangingfromactions

toreducegreenhousegasemissionsassociatedwith

semiconductorfabricationprocessestoreplacingchemicalsofconcernwithinsemiconductormanufacturingprocesses.

TACKLINGTHEPFAS

CHALLENGEHEAD-ON

Oneimportantsustainabilitypriorityforthe

semiconductorindustryistoaddressthe

environmentalandhealthconcernsassociatedwithper-andpolyfluorinatedsubstances

(PFAS),abroadcategoryofchemicalsidentifiedaspotentiallyposingenvironmentalandhealthrisks.SIAestablishedtheSemiconductor

PFASConsortiuminJanuary2022to

betterunderstandtheusesofPFASinthe

semiconductorsupplychain,PFAStreatment

anddetectionmethods,abatementandprocesstechnologies,andthepotentialavailability

(orabsence)ofalternatives.

Todate,theConsortiumhasidentifiedover1,000usesofPFASinthesemiconductor

manufacturingprocessandassociated

supplychain,includingnumerousessentialapplications.TheConsortiumhaspublishedtechnicalwhitepapers,availableat

/PFAS,documenting

theseuses,theuniqueperformanceandfunctionalattributesofPFASineach

application,andthechallengesassociated

withidentifyingandqualifyingsubstitutes.Whileresearchcontinuesonidentifying

potentialalternativestoPFASinthe

semiconductorfabricationprocess,additional

workisneededonprocessoptimizationto

reducetheuseofPFASanddetectionand

treatmenttechnologiestominimizeoreliminatereleasestotheenvironment.

AsregulatorsaroundtheworldtakeactiontoaddressthechallengecertainPFASposetohumanhealthandtheenvironment,SIAencouragespolicymakerstoleveragethefindingsofthePFASConsortiumand

accountfortheessentialityofPFAStosemiconductormanufacturing.

2024STATEOFTHEU.S.SEMICONDUCTORINDUSTRY17

SUPPLYCHAINREBALANCING

StrengtheningAmericanandglobalsemiconductorsupplychainsremainsatoppriorityfortheU.S.semiconductorindustry,

withcompaniesacrossthesectorworkingtodiversifyriskby

broadeningtheiroperationalfootprint.Governmentshavealso

takenaparticularinterestinadvancingsupplychainresilience

whenitcomestotheproductionofchipsandupstreammaterialscapacity,withagoaltoreducestrategicdependencies.

ITSIFund:TheCHIPSandScienceActallocated$500milliontotheInternationalTechnology

SecurityandInnovation(ITSI)Fund,whichwillhelpexpandanddiversifysegmentsofthe

semiconductorsupplychainssuchascritical

materialsandassembly,testing,andpackaging.

TheStateDepartmenthasestablishedpartnershipswithCostaRica,Panama,Vietnam,Indonesia,thePhilippines,andMexicoundertheITSIFund.

U.S.-Japan:TheU.S.andJapanarepursuing

arangeofcooperativeeffortstoenhance

semiconductorsupplychainresilience,includingthroughtheU.S.-JapanCommercialand

IndustrialPartnership(JUCIP),cooperationbetweentheNationalSemiconductor

TechnologyCenter(NSTC)andJapan’s

Leading-EdgeSemiconductorTechnology

Center(LSTC),andtheU.S.-JapanUniversityPartnershipforWorkforceAdvancementandResearch&DevelopmentinSemiconductors(UPWARDS)initiative.

U.S.-Korea:TheU.S.andKoreaarealso

deepeningcollaborationontechnologyand

economicsecuritypoliciesinsupportofthe

semiconductorindustry.Forexample,theU.S.-KoreaSupplyChainandCommercialDialogue(SCCD)establishedasemiconductor-specificworkinggrouptoenhanceindustrysupply

chainsandpromotejointR&Defforts.

2024STATEOFTHEU.S.SEMICONDUCTORINDUSTRY18

U.S.-EU:ThroughtheTradeandTechnology

Council(TTC),theU.S.andEuropeanUnion(EU)

arecooperatingtoimprovetheresilienceoftransatlanticsemiconductorsupplychains

andfacilitateinformationexchangeon

governmentincentivesprovidedtothe

semiconductorsector.TheU.S.andEUmayalsodevelopjointorcooperativemeasurestoaddressdistortionaryeffectsontheglobalsupplychainforlegacysemiconductors.

NorthAmericanLeadersSummit:InMay2023,theU.S.,Canada,andMexicoestablishedthe

firstNorthAmericaSemiconductorConferencetocollectivelystrengthentheNorthAmericansemiconductorsupplychain,includingcriticalmineralsandworkforce.Insubsequent

dialogues,thegovernmentscommittedto

workwithacademiaandtheprivatesectortodeveloppoliciesthatwilladvanceregionalcompetitivenessinsemiconductors.

U.S.-India:TheU.S.andIndiaarecollaborating

tocreatestrongerandmoresecure

semiconductorsupplychainsthroughmultiplebilateraldialogues.AFebruary2024InformationTechnologyandInnovationFoundation(ITIF)

reportfoundIndiacouldexpanditsroleinsemiconductorsupplychains,particularlyifthegovernmentpursuesandimplementssystemicpolicyreformstobetterattract

andsupportsemiconductorcompanyoperationsinthecountry.

2024STATEOFTHEU.S.SEMICONDUCTORINDUSTRY19

GOVERNMENTSRACETODEVELOPCHIP

STRATEGIESANDINCENTIVES

Governmentsaroundtheglobearedevelopingcomprehensivestrategiesandofferingtargetedincentivepackagestoattractsemiconductorinvestment.

Companieshaverespondedbyannouncinglarge-scaleinvestmentsinnew

front-endandback-endmanufacturingcapacity,R&Danddesigncenters,and

workforcedevelopment.Whenofferingincentives,governmentsshouldrequire

aminimumlevelofprivatesectorinvestmentinprojectstoensuregovernmentsupportismarketbased.SIAandBCGpublishedareportinAugust2024

outliningkeyfactorssemiconductorcompaniesevaluatewhenselectingsitesforsemiconductorecosysteminvestments.

China:Chinacontinuestoinvestheavilyinitsdomesticsemiconductorproductioncapacity,recentlyannouncinganother$47billionin

fundingfrom19governmentandstate-ownedinvestorsinthethirdphaseofitsNationalIC

Fund.Chinaisalsousingarangeoflevers,

includinglocalcontentpreferences,domesticstandards,andinformalgovernmentdirectivestocreatedemandfordomesticallyproduced

semiconductors.

EU:TheEUChipsAct,enactedinSeptember

2023,seekstomobilize$47billioninpublicandprivatefundingforEurope’ssemiconductor

ecosystem,withsubsidypackagesdisabused

byEUmemberstates.ThegoaloftheEUChipsActistodoubleEurope’sglobalmarketin

semiconductorproductionto20%by2030.

Japan:Japanisinvestingroughly$25billiontodevelopitsdomesticsemiconductorproductioncapabilities.Japanhasdirectedthisfundingtosubsidizefabconstructionaswellastosupportleading-edgechipinnovationthroughRapidus,adomesticsemiconductormanufacturerthataimstoproduce2nmchipsby2027.

Korea:InMay2024,Koreaannounced

asupportpackagetotalingapproximately

$19billiontobolsterdomesticchipdesignandmanufacturingcapacity.ThisfollowsaJanuary2024announcementtobuildtheworld’slargestsemiconductormegaclusterinthecountry,

withaninvestmentof$472billionoverthen