SCHUMER: IT'S LOCKED IN! SENATOR ANNOUNCES GLOBALFOUNDRIES’ CHIPS AWARD SIGNED, SECURING $1.5 BILLION FROM HIS CHIPS & SCIENCE LAW TO HELP BUILD MASSIVE SECOND FAB & EXPAND IN THE CAPITAL REGION

GlobalFoundries Will Expand Current Fab & Build New, State-Of-The-Art Second Manufacturing Facility In Malta, In Addition To Modernizing A Vermont Location, Investing $13+ Billion Over Next 10+ Years, Adding Thousands Of New, Good-Paying Manufacturing And Union Construction Jobs

Finalized Commerce Award Will Ensure GlobalFoundries Can Tap CHIPS Funding In Coming Years As Long As It Meets Project Milestones

Schumer: CHIPS Investment Is Signed & Sealed For GlobalFoundries

U.S. Senate Majority Leader Chuck Schumer today announced GlobalFoundries and the Department of Commerce has finalized its CHIPS award of up to $1.5 billion in direct funding through the bipartisan CHIPS & Science Law he initiated and successfully passed into law. Schumer said this funding will support expansion of GlobalFoundries’ existing fab in Malta, NY and the construction of a second, state-of-the-art fab at the same site, in addition to modernization of the company’s current facility in VT. The U.S. Department of Commerce will disburse funds in the coming years as GlobalFoundries meets project milestones agreed to in the final award.

“GlobalFoundries’ CHIPS award is locked in! $1.5 billion from my CHIPS & Science Law is now signed and sealed for GlobalFoundries to help expand production and build a second, cutting-edge and massive chip factory here in Malta. This final agreement locks in the federal support GlobalFoundries needs to triple its production capacity in Saratoga County, bringing thousands of good-paying manufacturing and union construction jobs, on top of its already large world-class workforce. This investment will make sure America’s semiconductor future is made in the Capital Region not China,” said Senator Schumer. “GlobalFoundries’ robust and exciting future in the Capital Region starts today. The essential chips GlobalFoundries makes are critical for the auto industry, national defense, and dozens of other technologies from smart phones to artificial intelligence. This major investment will help secure America’s supply chains and protect against the shortages that led to skyrocketing prices for cars, computers, and more that hit families during the COVID-19 pandemic as a result of us not producing enough of these chips domestically. This investment will also help boost the domestic supply of chips our military relies on, and will keep America ahead, with GlobalFoundries helping write the next chapter of American manufacturing.”

Schumer added, “Ever since GlobalFoundries’ first Fab 8 broke ground 15 years ago, I knew we only scratched the surface of the potential for Upstate NY to be a global leader in the semiconductor industry. Now with GlobalFoundries moving forward on an expansion, including building its second massive factory, America’s first National Semiconductor Technology Center down the road at Albany NanoTech, and other major investments like Micron, it is becoming clear Upstate NY will be a driving force in the world’s semiconductor future.”

GlobalFoundries is a leading producer of essential chips that are critical across industries, from mobile phones and artificial intelligence to automobiles and defense technologies. Currently, there are only four companies outside of China that provide current and mature foundry capabilities at the scale of GlobalFoundries, and GlobalFoundries is the only one of those companies that is headquartered in the United States. GlobalFoundries, a Trusted Foundry for the Department of Defense, is a key supplier of chips for America’s national defense, with strong partnerships with major defense contractors like Lockheed Martin. GlobalFoundries also supplies chips to America’s auto industry with partnerships in place with companies like General Motors, which saw severe shortages of chips during the pandemic, leading to increased prices for cars. The investment will support the expansion of GlobalFoundries’ current fab focused on automotive chips to help meet soaring demand for chips in cars and get ahead of future supply chain challenges.

Last month Schumer also secured a major $825 million federal investment to make Albany NanoTech the first National Semiconductor Technology Center (NSTC) flagship facility and headquarters for extreme ultraviolet (EUV) research and development that is critical to the global chip industry. Today’s award finalizes one of five agreements in New York for federal CHIPS incentives funded by Schumer’s bipartisan CHIPS & Science Law that are spurring private sector investment and bringing manufacturing back to America. Schumer previously announced that Micron, which plans to invest $100+ billion over the next two decades – the largest private investment in New York’s history – reached a $6.1 billion CHIPS preliminary memorandum of terms (PMT) funding agreement. The senator also announced that Corning Incorporated reached a $32 million CHIPS PMT funding agreement to make a $315 million investment that would increase production at their Canton facility of specialized glass vital for the semiconductor industry. In addition, Edwards Vacuum announced plans to build a new first-of-its-kind-in-the-country $300+ million dry pump manufacturing facility, supported by an $18 million CHIPS PMT funding agreement. Wolfspeed has also reached a $750 million CHIPS PMT funding agreement and plans to tap nearly $1 billion from the CHIPS Investment Tax Credit that Schumer helped create in the CHIPS & Science Law to complete the expansion of their Silicon Carbide Fabrication Facility at Marcy Nanocenter in Oneida County and in North Carolina.

Governor Hochul said, “Thousands of good-paying jobs are coming to the Capital Region because of the work we’ve done to strengthen our high-tech manufacturing economy. GlobalFoundries has a proven record of creating jobs in New York and we are proud to support their continued growth and commitment to New York. The federal CHIPS & Science Act combined with our New York Green CHIPS Act is attracting major semiconductor investments — in fact, one in four American-made chips will be manufactured within 350 miles of Upstate New York. I want to thank the Biden-Harris administration, Senator Schumer and the Department of Commerce for their efforts to bring back domestic semiconductor manufacturing, protecting our national security and creating in demand, good paying jobs that will reshape our economy now, and for decades to come."

###