US to Invest $400m in Silicon and SOI Wafer Plants

GlobalWafers, a leading semiconductor wafer manufacturer, is on the verge of securing $400 million in funding from the US government to establish state-of-the-art 300mm silicon and silicon on insulator (SOI) wafer plants in Texas and Missouri. This move comes as part of a larger $4 billion investment aimed at boosting domestic production of semiconductor wafers in the United States.

The proposed deal with GlobalWafers marks a significant milestone as it would set up the first domestic 300mm silicon and SOI wafer plants in the country. The investment is expected to create a substantial number of jobs, with 1,700 construction positions and 880 manufacturing roles set to be generated across both Texas and Missouri. While the Texas plant was initially proposed in June 2022, the plan for the 300mm SOI wafer facility in Missouri is a new addition to the project.

According to U.S. Secretary of Commerce Gina Raimondo, "With this proposed investment, GlobalWafers will play a crucial role in bolstering America’s semiconductor supply chain by providing a domestic source of silicon wafers that are the backbone of advanced chips." Currently, a handful of companies, including GlobalWafers in Taiwan, dominate the global 300mm silicon wafer market, with the majority of silicon wafer production concentrated in East Asia.

The proposed investment under the US CHIPS Act would see GlobalWafers America (GWA) establish the first 300mm silicon wafer manufacturing facility for advanced chips in Sherman, Texas. This move aligns with efforts by other tech giants like Samsung and TI, who are also setting up 300mm fabs in the region. Additionally, a plant in St. Peters, Missouri, is slated to be built to produce 300mm SOI wafers for low-power chips commonly used in defense and aerospace applications.

GlobalWafers also has plans to repurpose a portion of its existing silicon epitaxy wafer manufacturing facility in Sherman, Texas, to produce silicon carbide (SiC) epitaxy wafers for high voltage applications, such as electric vehicles and clean energy infrastructure. GWA President Mark England expressed enthusiasm about the venture, stating, "GlobalWafers is fully committed to the US market, and we are excited to be playing a defining role in the nation’s semiconductor rebirth."

The agreement between GlobalWafers and the US government is currently non-binding and subject to a full application and due diligence process. Sustainability is a key focus, with commitments to recycle up to half of the water used in production and transition to 100% renewable energy for wafer manufacturing operations. This initiative underscores GlobalWafers' dedication to technological advancement and environmental responsibility in the semiconductor industry.