Portman Applauds Intel’s Announcement of New Semiconductor Facility in New Albany, Ohio

Company to Invest $20 Billion in the New Site, Largest in State History

January 21, 2022 | Press Releases

WASHINGTON, DC – Today, U.S. Senator Rob Portman (R-OH) applauded the historic announcement by Intel that it plans to invest $20 billion in a new semiconductor facility in New Albany, Ohio. Intel, the world’s largest semiconductor chip manufacturer, will be making the largest economic development investment in state history. Senator Portman has spoken and met with Intel’s CEO, Pat Gelsinger, and other Intel executives several times over the past year. Portman has advocated for Ohio as a prime location for semiconductor manufacturing, given Ohio’s well-trained workforce, energy infrastructure and available land. Portman is attending a ceremony announcing the investment at the White House this morning and will also attend the event in New Albany this afternoon as well. He issued the following statement:

“This historic investment is great news for Ohio and for our nation. Intel is a world-class company and Ohio is well situated to be the home of their new semiconductor manufacturing center. Ohioans have a great work ethic, and thanks to our world-class institutions, has a highly trained workforce. It’s a great match. As I highlighted in my conversations with Intel’s CEO, Pat Gelsinger, Central Ohio also has the land, resources and energy infrastructure to accommodate the manufacturing of the best semiconductors in the world. I also want to say a special thanks to Governor DeWine, our state’s economic development arm JobsOhio, and One Columbus for all of their hard work in making this happen. 

“While bringing thousands of high-paying jobs to Ohio, this historic investment will also help reshore semiconductor chip manufacturing, which has faced an international shortage over the past few years. U.S. dominance in semiconductor manufacturing has been dwindling for decades, and it’s both an economic and national security concern. While the U.S. still leads the world in chip design, our share of global chip manufacturing capacity over the last 30 years fell from 37 percent in 1990 to 12 percent in 2021, according to the Semiconductor Industry Association. 

“That is why Intel’s historic investment today means so much and why we are working in a bipartisan fashion in Congress to pass legislation like the CHIPS Act and the broader U.S. Innovation and Competition Act (USICA) that I have championed. This legislation would improve our nation’s competitiveness in technology and communications, foreign relations and national security, domestic manufacturing, education, trade, and other important issues. The CHIPS Act specifically would bring $52 billion in new federal investments for domestic semiconductor research, design, and manufacturing. I was proud to cosponsor and support this legislation when it passed the Senate last June, and I’m hopeful the House of Representatives will act quickly so we can get this done.”

NOTE: At the beginning of the COVID-19 pandemic, automotive sales dropped, leading to auto companies decreasing and halting their semiconductor chip purchases. As a result, almost all the world’s supply of semiconductors was purchased by consumer electronics companies to meet surging demand from those working and learning from home. However, now — in what should be a success story for the economic recovery — demand for new cars is up, but automobile companies cannot obtain the chips necessary to meet demand. This has led to supply chain shortages and disruptions to the automotive workforce.

Senator Portman has worked hard to secure solutions for the semiconductor crisis for months. Earlier this month, Portman and Senator Brown sent a letter to Senate and House Leadership urging swift passage of the USICA – which passed in the Senate last June – that would invest in manufacturing and address the global semiconductor shortage. Senator Portman also led colleagues in sending a letter to Brian Deese, Director of the National Economic Council, last February, urging the administration to support efforts to secure the necessary funding to swiftly implement the semiconductor-related provisions in the FY 2021 National Defense Authorization Act, to boost semiconductor manufacturing and incentivize the domestic production of semiconductors in the future.