Biden's CHIPS Act Subsidy Funds Under Renegotiation, TSMC Cited as Success Story
U.S. Commerce Secretary Howard Lutnick stated on Wednesday during a Senate appropriations committee hearing that the Trump administration is renegotiating the CHIPS Act subsidies that were provided under President Biden, suggesting that some subsidies might be canceled. He indicated that some of Biden's subsidy plans appeared 'too generous' and that some renegotiations have already succeeded, with the aim of benefiting American taxpayers.
Former President Biden signed the CHIPS and Science Act in 2022, investing $52.7 billion to strengthen domestic chip manufacturing and R&D, and to attract chip manufacturers away from Asia.
Lutnick pointed out that TSMC serves as a successful case in this renegotiation, noting that the company increased its originally committed investment from $65 billion to $100 billion, while still receiving $6 billion in subsidies.
