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23 min ago 2 min read
The global semiconductor industry association SEMI, along with 23 member companies on the SEMI Tax Policy Committee, has urged the US Congress to immediately pass a multi-year extension of the Advanced Manufacturing Investment Credit (AMIC).
SEMI and its member companies warned that allowing the AMIC to expire would create uncertainty for long-term capital investment and risk slowing the expansion of the US semiconductor manufacturing sector.
The AMIC’s 35% investment tax credit helps to offset the costs of the rapidly growing US semiconductor industry, which often requires billions in upfront investment.
In a letter to Congress, SEMI said a multi-year extension in advance of the December 31, 2026, expiration deadline would provide the certainty needed to plan, finance, and execute the next generation of semiconductor projects.
It also said the AMIC should apply across the entire semiconductor value chain, including semiconductor materials, chemicals, and electronic design automation (EDA) tools.
Joe Stockunas, President of SEMI Americas, said, “The AMIC is essential to accelerating semiconductor growth in the US, especially as semiconductor demand from emerging technologies such as artificial intelligence and quantum technologies continues to surge.”
In July, the US House of Representatives passed President Trump’s budget bill, raising the AMIC for the semiconductor industry .
This followed the finalising rules providing a 25% tax credit for certain semiconductor manufacturing investments the previous year.
To qualify for the capital, construction must have started after August 9, 2022, and the equipment must be placed in service after December 31, 2022.
