Semiconductor Advocacy
Trade Minister Ahn Duk-geun is scheduled to stay in Washington, D.C. from March 8 to 10 to discuss the CHIPS and Science Act.
The act became effective in August last year so that financial and tax incentives can be given to companies investing in the U.S. semiconductor industry. The act stipulates US$52.7 billion in subsidies, 25 percent in tax credit, and other options.
The U.S. government announced six qualifications for the benefits on Feb. 28 related to economic and national security, manpower development, social contributions, etc. According to South Korean semiconductor companies, satisfaction of those requirements is likely to lead to tech leak, information exposure, and business infringement.
The trade minister is planning to express concerns on their behalf and stress the importance of their role in further advancing and stabilizing U.S. supply chains in the industry, which is the very goal of the act.