HEMLOCK, Mich. (WNEM) – Hundreds of millions of dollars are headed to mid-Michigan’s Hemlock Semiconductor.
Sen. Gary Peters said it will help the manufacturer build a new facility to produce a critical material used in electronics and solar panels, the only plant of its kind headquartered in the United States.
The proposed production facility will increase Hemlock Semiconductor’s already large footprint in the market.
“We had really exciting news today that Hemlock Semiconductor is receiving a $325 million grant from our CHIPS and Science Act,” Peters said.
The Biden administration said it will provide up to $325 million to Hemlock Semiconductor to build a new factory. As a result, Peters said more jobs are headed to the Great Lakes Bay Region.
“Hemlock Semiconductor will now use that money to expand, build a brand new factory, which is going to mean hundreds of jobs, both there on the site, plus construction jobs as they build this facility,” he said.
Peters said that Hemlock Semiconductor is the only U.S.-based major manufacturer of polysilicon. He said it’s important that the U.S. gets its chips here at home, instead of relying mostly on companies that reside beyond our borders, especially given the recent supply chain issues that occurred during the pandemic that resulted in chip shortages, and higher prices.
“The number of chips that are going to be used is just going to go up with artificial intelligence, advanced electronics. But basically, every product that we have now has some sort of chip in it. Washing machines have computer chips. Our automobiles certainly do, they have thousands of them. They’re basically computers with four wheels,” Peters said.
The state said the new facility would support 180 permanent, advanced manufacturing jobs and over 1,000 good-paying construction jobs.
“HSC is proud to be a manufacturing powerhouse for two vital industries of the future—semiconductor and solar. Bolstered by the CHIPS Act, we are planning for a once-in-a-generation investment in advanced technologies to continue serving as a top polysilicon supplier to the leading-edge semiconductor market,” said a spokesperson for Hemlock Semiconductor.
“This investment is a meaningful investment. It’s about national security. It’s about economic security. It’s about homeland security. And it’s happening right here in the Bay region,” Peters said.
In addition to up to the $325 million from the CHIPS Act, the state is supporting the proposed project with $40 million.
In September of 2022, the Michigan Economic Development Corporation announced its support of a $375 million investment in HSC in Thomas Township, creating 170 jobs.
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