Hemlock Semiconductor secures up to US$325 million funding under CHIPS Act

January 10, 2025
Facebook
Twitter
LinkedIn
Reddit
Email
Hemlock Semiconductor headquarter offices
Funding from the DoC will support the construction of a new manufacturing facility in Hemlock, Michigan, US. Image: Hemlock Semiconductor.

The US Department of Commerce (DoC) has awarded polysilicon producer Hemlock Semiconductor up to US$325 million in direct funding.

The funding was made under the CHIPS Incentives Program’s Funding Opportunity for Commercial Fabrication facilities and aims to secure US-made production of semiconductor-grade polysilicon.

This article requires Premium SubscriptionBasic (FREE) Subscription

Try Premium for just $1

  • Full premium access for the first month at only $1
  • Converts to an annual rate after 30 days unless cancelled
  • Cancel anytime during the trial period

Premium Benefits

  • Expert industry analysis and interviews
  • Digital access to PV Tech Power journal
  • Exclusive event discounts

Or get the full Premium subscription right away

Or continue reading this article for free

It will be directed towards the construction of a new manufacturing facility in Hemlock, Michigan that will create 180 manufacturing jobs and over 1,000 construction jobs.

“CHIPS for America’s investment in HSC will help advance supply chain security by ensuring the US has a reliable, domestic supply of polysilicon – the bedrock of semiconductors,” said US Secretary of Commerce Gina Raimondo.

“Establishing a domestic source of these materials is important for development of leading-edge chip applications, which helps bolster our economic and national security.”

The award follows a preliminary memorandum of terms signed back in October. Funds will distributed based on the polysilicon producer’s completion of project milestones, said the DoC.

No details regarding the annual nameplate capacity and how much would be used for solar production, if any, have been disclosed so far. However, production is targeted to begin in 2028.

This funding from the DoC towards the construction of a new domestic manufacturing facility comes only days after polysilicon producer REC Silicon announced it was ceasing production of polysilicon at its Moses Lake, Washington, plant.

According to the company, the shutdown follows failed attempts to increase the purity of its polysilicon product – based on Fluidized Bed Reactor (FBR) technology for granular polysilicon – which led to a failed qualification test announced on 17th December 2024.

Outside the US, two Chinese polysilicon producers – Tongwei Solar and Daqo New Energy – recently announced production cuts of polysilicon in order to minimise price competition of the material.

16 June 2026
Napa, USA
PV Tech has been running PV ModuleTech Conferences since 2017. PV ModuleTech USA, on 16-17 June 2026, will be our fifth PV ModulelTech conference dedicated to the U.S. utility scale solar sector. The event will gather the key stakeholders from solar developers, solar asset owners and investors, PV manufacturing, policy-making and and all interested downstream channels and third-party entities. The goal is simple: to map out the PV module supply channels to the U.S. out to 2028 and beyond.

Read Next

January 14, 2026
The US District Court of the District of Columbia has ruled that the Department of Energy’s (DOE) cancellation of awarded project grants constituted a violation of the Fifth Amendment’s guarantee of equal protection of the laws.
January 13, 2026
US distributed generation platform Aspen Power has raised US$200 million in capital to support 'growth initiatives' across the US.
January 12, 2026
US metals firm Comstock has completed all the necessary permits to build a solar module recycling facility in Nevada.
January 9, 2026
China’s market supervision body has warned of monopoly risks in the plans to consolidate the country’s polysilicon sector.
Premium
January 9, 2026
PV Tech Premium spoke with Crux on the trends to look forward in 2026 in the clean energy transferable tax credit market.
January 9, 2026
The US has withdrawn from a number of UN climate organisations, including the Framework Convention on Climate Change, International Renewable Energy Agency (IRENA) and Intergovernmental Panel on Climate Change.

Upcoming Events

Solar Media Events
February 3, 2026
London, UK
Solar Media Events
March 24, 2026
Dallas, Texas
Solar Media Events
April 15, 2026
Milan, Italy
Solar Media Events
June 16, 2026
Napa, USA
Solar Media Events
November 3, 2026
Málaga, Spain