On May 11, 2026, the US-Taiwan Business Council joined the Semiconductor Industry Association and other top business and trade associations to call for extending and expanding the Advanced Manufacturing Investment Credit (AMIC), a highly impactful semiconductor industry tax credit set to expire at the end of this year.

Multi-Association Letter Urging Congress to Extend, Expand Successful AMIC Semiconductor Tax Credit

May 11, 2026

Dear Speaker Johnson, Leader Thune, Leader Schumer, and Leader Jeffries:

The undersigned associations represent key industries that drive the U.S. economy, including semiconductors, artificial intelligence, cloud computing, defense and aerospace, connected and autonomous vehicles, advanced wireless communications, medical technology, manufacturing, and more. We write to underscore the urgent need to extend and expand the Advanced Manufacturing Investment Credit (AMIC)¹, which is set to expire at the end of this year.

The AMIC serves as an important incentive for the construction, expansion, and modernization of semiconductor manufacturing facilities in the United States. To date, the tax credit has catalyzed over $640 billion in investments throughout the supply chain across 140 projects in 30 states—more than tripling U.S. semiconductor manufacturing capacity.² These efforts to rebuild domestic capacity not only strengthen the semiconductor industry ecosystem but bolster supply chain resilience and the global competitiveness of the industries that depend on these technologies. Without the certainty provided by an extension, the U.S. will undermine its ability to both support projects already underway and promote future manufacturing investments at home.

We also encourage an expansion of the credit to cover critical functions in the semiconductor ecosystem like design and other research and development (R&D) activities. Chip design is a highly complex process that defines a semiconductor’s function and value, translating product requirements into architectures that receive, transmit, process, and store ever-increasing amounts of data. Leadership in design and R&D is paramount to securing first-mover advantages and ensuring standards are built on U.S. tech across all industries and economies. While U.S. companies are currently world leaders in chip design, global competitors are increasingly incentivizing design activity to challenge that leadership. The U.S. stands as one of the only major semiconductor regions without a targeted tax incentive for chip design, contributing to the U.S. placing last among major semiconductor regions in overall R&D tax support.

Semiconductors are the foundational technology powering today’s electronics and drive innovation across the vital industries we represent. Continued U.S. leadership in this critical technology is essential for both U.S. economic growth and national security. With global semiconductor demand projected to exceed $1.6 trillion by 2027, capital allocation decisions are being made now. It is imperative the U.S. maintains competitive incentives by extending and expanding the AMIC to secure continued investment across the semiconductor ecosystem.

We respectfully urge Congress to extend and expand the AMIC at the current rate to ensure America’s chip resurgence stays on track. A robust, durable incentive will provide companies with the certainty and predictability needed to make long-term capital investments in the United States, regularly modernize and expand their facilities, meet growing demand, and produce new generations of technology.

Sincerely,

AdvaMed
Aerospace Industries Association
Alliance for Automotive Innovation
American Automotive Policy Council (AAPC)
Autos Drive America
CTIA
Global Business Alliance
Information Technology Industry Council (ITI)
MEMA. The Vehicle Suppliers Association
National Association of Manufacturers
National Defense Industrial Association
Semiconductor Industry Association (SIA)
Silicon Valley Leadership Group
Software & Information Industry Association (SIIA)
TechNet
Telecommunications Industry Association
U.S. Chamber of Commerce
US-Taiwan Business Council

cc:
The Honorable Mike Crapo, Chairman, U.S. Senate Committee on Finance
The Honorable Ron Wyden, Ranking Member, U.S. Senate Committee on Finance
The Honorable Jason Smith, Chairman, U.S. House Committee on Ways and Means
The Honorable Richard E. Neal, Ranking Member, U.S. House Committee on Ways and Means

1 § 48D of the Internal Revenue Code
2 “America’s Chip Resurgence: Over $640 Billion in Semiconductor Supply Chain Investments.” Semiconductor Industry Association. https://www.semiconductors.org/chip-supply-chain-investments (not all investments are eligible for the 48D tax credit; eligibility excludes chip design, R&D, and materials production).