A new factory in Texas will create 3,000 new well-paying jobs; Biden to ask Congress to pass bipartisan innovation law to spur new investment in innovation
Today, President Biden and President of the Republic of Korea (ROK) Yoon Seok-youl will visit the Samsung Electronics Pyeongtaek Campus – a model for the new Samsung factory under construction in Taylor, Texas. The shutdown will demonstrate how our alliances serve America’s middle class, investing in manufacturing in the United States, creating well-paying jobs and strengthening our supply chains. The United States and the Republic of Korea are among each other’s largest trade and investment partners, with more than $62 billion in foreign direct investment by Korean companies in the United States in 2020 – supporting more than 94,000 Americans and bringing our governments, businesses, and citizens together. whole.
At the factory, President Biden will also advocate for the swift passage of the bipartisan Innovation Act, which will bring historic federal investments in research and development, supply chains and domestic manufacturing to the states. United States – including CHIPS Act funding to provide $52 billion to catalyze further. private sector investments and advancing American technology leadership. As the President said, fighting inflation is his top economic priority, and making these investments will help reduce costs by making our supply chains more resilient over the long term, protecting us against disruptions costly and rising prices for consumers.
The Biden-Harris administration has worked around the clock with Congress, our allies and partners, and the private sector to generate additional semiconductor manufacturing capacity with strong labor protections, address key bottlenecks and reduce costs for families, and cement American leadership in industries. from the future. During President Biden’s first year in office, the US economy created a historic 6.6 million new jobs. The economy has added 545,000 manufacturing jobs since President Biden took office – more manufacturing jobs on average per month than any other president in the past 50 years and 2021 the largest increase in US manufacturing jobs in almost 30 years.
Following sustained engagement with Samsung and the Republic of Korea, Samsung is investing $17 billion to build a new semiconductor factory, adding to the 20,000 jobs Samsung is already supporting in the United States. Under President Biden, Semiconductor Manufacturing Returns to America:
- Since the start of 2021, the semiconductor industry has announced nearly $80 billion in new investment in the United States through 2025, according to the Semiconductor Industry Association. This includes the $20 billion Intel factory outside of Columbus, Ohio; Texas Instruments invests up to $30 billion in Texas; Wolfspeed’s billion-dollar expansion in North Carolina; and expansions by Global Foundries and SK Group.
- In June, the Commerce Department released a series of recommendations on how to secure the US semiconductor supply chain. Since then, Commerce Secretary Gina Raimondo, National Security Advisor Jake Sullivan and National Economic Council Director Brian Deese have held regular follow-up engagements with industry leaders and diplomatic and allied partners to provide practical solutions to strengthen the global semiconductor supply chain.
- The US Department of Defense has used Defense Production Act authorities to strengthen supply chains of key defence-related semiconductors.
- In October last year, President Biden hosted a global supply chain summit with heads of state from 14 countries and the European Union on the sidelines of the G20 in Italy to discuss supply chain disruptions. sourcing, with a focus on semiconductors. This year, Secretary of Commerce Gina Raimondo and Secretary of State Antony Blinken will hold a follow-up meeting at the ministerial level of international partners, members of the private sector and other stakeholders to discuss next steps to ensure the resilience of the global supply chain, including for semiconductors. .
- The president also focused on semiconductor supply chain resilience during his bilateral meetings with foreign leaders and asked the administration to cooperate with Europe to strengthen global supply chains. through the US-EU Trade and Technology Council (TTC) and through the Quad’s focus on critical technologies. At the TTC last week, the US and EU announced an early warning system to better predict and address potential disruptions to the semiconductor supply chain, as well as establish a transatlantic approach investment in semiconductors to ensure security of supply and avoid subsidy races.
President Biden hosted a virtual summit with major chip-producing and chip-using companies to identify practical ways to discuss actions they could take to address the disruptions resulting from the global chip shortage. By year’s end, attendees announced new partnerships between semiconductor companies and US automakers to build resilience in the automotive chip supply chain.