TECH - Federal Aid Recipients Face Limits on Chip Production Expansion in China: Report | Benzinga
The Biden administration has set the final guidelines restricting the growth of semiconductor companies in China that are beneficiaries of federal funds for establishing facilities in the U.S.
Before the Commerce Department disburses over $100 billion in federal aid to bolster U.S. chip production and curb China's tech progression, these regulations had to be in place, Bloomberg reports.
The Chips Program Office, poised to allocate $39 billion in grants and $75 billion in loans and loan guarantees, will restrict companies receiving these funds from significantly increasing their production or expanding their manufacturing footprint in China.
The U.S. set the growth limits at 5% for advanced chips and 10% for older technologies, specifically those of 28 nanometers or more.
Commerce Secretary Gina Raimondo emphasized that the "Chips for America" initiative is rooted ...