The passage of the CHIPS Act can help build Ohio’s economy for decades to come.
The U.S. House of Representatives agreed to Senate changes in the act, named for its purpose of creating-helpful-incentives-to-produce-semiconductors.
The $52 billion incentive package for domestic production of the vital source of technology that touches nearly every aspect of our lives, simply matches what computer-chip manufacturers can get in Asia or Europe.
It’s a big deal for national security and economic competitiveness. But it’s a huge boost of nearly unfathomable impact in Ohio. The $20 billion chip-fabrication plant Intel planned for Licking County, but delayed breaking ground on pending passage of the CHIPS Act, seems a sure thing.
That’s not to say there aren’t hurdles to overcome. Intel’s second quarter results were what the Wall Street Journal called a disaster. The company faces significant headwinds, including some self-inflicted wounds.
The CHIPS Act, though, can help Intel retool and move forward.
The planned plant is a $20 billion investment likely to create 3,000 jobs with average salary of $135,000. That’s easily the largest economic development achievement in Ohio history.
With the CHIPS Act available to spur growth, Intel has plans to expand their Ohio investment to $100 billion. The additional $80 billion is almost 11% of the total Ohio economy. Bringing the impact home to Lucas County, the additional Intel investment is 320% more than all of the economic activity that takes place here.
Ohio’s Senators, Democrat Sherrod Brown and Republican Rob Portman, were in agreement, both voting to pass the CHIPS Act. In the House, most Ohio Republicans voted to support the incentive destined to make our state the “silicon heartland.”
If Intel’s plans come to fruition, tens of thousands of Ohioans for years to come will be glad political maneuvering to stymie the CHIPS Act failed.