Intel delays groundbreaking ceremony over inaction in congress
Intel has indefinitely delayed a groundbreaking ceremony for its $20 billion semiconductor factory in New Albany. The company blames inaction in Congress for the delay.
At issue is the so-called CHIPS Act, which would give billions of dollars to semiconductor manufacturers to make computer chips in the US. Congress has not moved on it.
A statement from Intel said, “The scope and pace of our expansion in Ohio will depend heavily on funding from the CHIPS Act. Unfortunately, CHIPS Act funding has moved more slowly than we expected.”
The CHIPS Act would create a $52 billion subsidy for U.S. semiconductor manufacturers. If it passes, Intel plans to invest another $100 billion in Ohio and expand its operations in Licking County.
The state of Ohio has passed a $2 billion incentive package for Intel, and this week New Albany City Council approved a 30-year property tax exemption for the company.
Construction crews have been preparing the site. Original plans called for the first Intel plants to be fully operational by 2025.