The U.S. Department of Energy (DOE) has approved a $544 million loan for SK Siltron CCS, LLC, with $481.5 million in principal and $62.5 million in capitalized interest, to develop a new semiconductor materials manufacturing facility in Bay City, Michigan.
This project, part of the Biden administration’s Investing in America initiative, will support the production of silicon carbide (SiC) wafers for electric vehicle (EV) power electronics, advancing U.S. capabilities in the semiconductor industry.
The project is expected to create up to 200 construction jobs initially and another 200 skilled operations positions once fully operational.
The facility will position SK Siltron among the top five SiC wafer manufacturers globally, enhancing America’s competitive edge in semiconductor manufacturing, according to the DOE.
In early 2024, SK Siltron received preliminary approval for the loan. CEO Jianwei Dong emphasized the project’s significance, saying, “This project is an important step towards ensuring a resilient and robust supply chain in the United States, and we are proud to bolster domestic semiconductor manufacturing.”
