Hemlock Semiconductor receives $325 million from CHIPS Act to increase production of hyper-pure polysilicon in Michigan 

Hemlock Semiconductor receives $325 million from CHIPS Act to increase production of hyper-pure polysilicon in Michigan 

Nov. 12, 2024
According to the company, the project will generate 180 new jobs for the surrounding area.  

Hemlock Semiconductor (HSC) has signed a non-binding preliminary memorandum of terms (PMT) with the U.S. Department of Commerce. As part of the agreement, HSC will receive up to $325 million in proposed direct funding under the CHIPS and Science Act. The company, which specializes in hyper-pure polysilicon, believes that the investment will allow it to increase production capacity of hyper-pure semiconductor-grade polysilicon to serve leading-edge chip applications.

HSC plans to use the funding to build a new manufacturing facility on HSC’s existing campus in Hemlock, Michigan, dedicated to the production and purification of hyper-pure semiconductor-grade polysilicon. According to the company, the project will generate 180 new jobs for the surrounding area.  

What people are saying

In a recent quote, HSC Chairman and CEO AB Ghosh said, “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. Our customers want high quality and sustainably made polysilicon. This proposed investment demonstrates that the Biden-Harris Administration, Governor Whitmer and our Michigan congressional champions understand HSC’s unique ability to meet those demands and our crucial role in strengthening American interests. As the United States works to reshore critical supply chains, we hope to make additional investments.”    

U.S. Secretary of Commerce Gina Raimondo added, “Polysilicon is the bedrock of semiconductors, and it’s important we have a reliable source of this material to manufacture the chips that help support our economic and national security. Because of the Biden-Harris Administration’s CHIPS and Science Act, we are proposing to invest up and down the semiconductor supply chain and support domestic materials suppliers, like HSC, that are helping drive America’s semiconductor manufacturing resurgence and technological leadership – and creating quality jobs all over the country in the process.”  

Manufacturers investing in Michigan

Saab invests $75M to open new Michigan manufacturing facility to support the U.S. military
Construction on the new facility will begin later this year, with production beginning in 2026.

NanoGraf awarded $60M to build silicon anode battery materials manufacturing plant in Michigan 
The facility will produce 2,500 tons per year of NanoGraf’s proprietary silicon anode material.

Mitra Chem awarded $125M to build battery material manufacturing facility in Michigan 
The new production plant will be the first mass production facility for lithium iron phosphate cathodes in North America.

Manufacturers receiving funds from the CHIPS Act

Infinera receives $93 million from the CHIPS Act to expand production and packaging of semiconductors 
These projects would increase its domestic manufacturing capacity and create up to 1,700 manufacturing and construction jobs. 

Wolfspeed receives $750M from the CHIPS Act to complete greenfield U.S. capacity expansion plan 
The money will be used to enhance the company’s long-term growth plans and bolster domestic production of silicon carbide. 

HP to receive $50 million from the CHIPS Act to modernize Oregon facility 
The facility is part of HP’s “lab-to-fab” ecosystem, which covers everything from R&D to commercial manufacturing.

Investing in American manufacturing in 2024

This map shows where manufacturers are choosing to invest their resources, whether they are building new production facilities or expanding existing plants.

About the Author

Alexis Gajewski | Senior Content Strategist

Alexis Gajewski has over 15 years of experience in the maintenance, reliability, operations, and manufacturing space. She joined Plant Services in 2008 and works to bring readers the news, insight, and information they need to make the right decisions for their plants. Alexis also authors “The Lighter Side of Manufacturing,” a blog that highlights the fun and innovative advances in the industrial sector. 

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