Commerce Department says Micron to invest $200B in U.S. chip making
June 12 (UPI) — The Commerce Department said Thursday that Micron Technology Inc. plans to invest $200 billion in semiconductor manufacturing in the United States.
Commerce Secretary Howard Lutnick said in a statement, “In partnership with the Department of Commerce, Micron is announcing a $200 billion semiconductor manufacturing and R&D investment to bring the full spectrum of memory chip production back to the United States. Micron’s planned investment will ensure the U.S. advances its lead across critical industries like AI, automotive, and aerospace & defense.”
The Commerce Department framed the investment as part of what it said is the Trump administration’s “push to restore America’s manufacturing strength, advance America’s role as a technology leader, and put American workers first.”
According to the Commerce Department, it previously awarded up to $6.165 billion in CHIPS Act direct funding during the Biden administration on Dec. 10, 2024.
The CHIPS Act was passed as part of President Joe Biden‘s agenda to revitalize American manufacturing of critical semiconductor chips.
A total of 17 Republican senators joined Democrats in 2022 to pass the CHIPS Act 64-33. Biden signed the bipartisan bill Aug. 9, 2022.
Micron is using the money it got in December to help build three chip fabrication facilities in Idaho and New York.
The Commerce Department projects the combined Micron and CHIP Act investments will create 90,000 jobs in New York, Idaho and Virginia.
Micron CEO, President and Chairman Sanjay Mehrotra said in a statement, “This approximately $200 billion investment will reinforce America’s technological leadership, create tens of thousands of American jobs across the semiconductor ecosystem and secure a domestic supply of semiconductors-critical to economic and national security.”
Micron will use the additional money to build upon the existing investments in Idaho and New York, adding a second state-of-the-art chip fabrication facility in Boise, Idaho.
The company is based in the United States but does business globally. In Oct. 2023 Japan committed $1.2 billion to Micron to build a Hiroshima semiconductor plant.
In April 2024 the Biden administration announced “workforce hubs” in four states to gear up U.S. workers for new manufacturing jobs in the semiconductor chip field.
Micron, the Commerce Department said, also will expand and modernize a chip facility in Manassas, Va., “to onshore critical technology from Taiwan.”
That is expected to substantially improve supply chain resiliency for automotive and industrial markets as well as the U.S. defense industrial base.
The new $200 billion investment in Micron will pay for up to two additional chip facilities in New York.