Congresswoman Claudia Tenney (NY-24) today lead 20 of her colleagues in introducing the Building Advanced Semiconductors Investment Credit (BASIC) Act to increase and extend the advanced manufacturing investment credit.
This legislation increases the advanced manufacturing investment credit from 25% to 35% and extends its availability through December 31, 2030. Semiconductors are essential to nearly every modern technology and producing these domestically is foundational to both America’s economy and its national security. Extending this tax credit will promote further investment in establishing new production facilities to manufacture semiconductors, which will spur job growth in advanced science, technology, engineering, and manufacturing, as well as ensure that the United States can compete globally and maintain its technological dominance over adversaries like China. Extending this critical tax incentive signals long-term U.S. commitment to tech leadership and levels the playing field for American companies ensuring the United States does not fall behind in this critical strategic sector.
Additional original cosponsors of this legislation include Tom Suozzi (D-NY), Nicole Malliotakis (R-NY), Brian Fitzpatrick (R-PA), Mike Carey (R-OH), Joe Morelle (D-NY), John Mannion (D-NY), Paul Tonko (D-NY), Tim Kennedy (D-NY), Josh Riley (D-NY), Mike Simpson (R-ID), Jen Kiggans (R-VA), Joe Neguse (D-CO), Young Kim (R-CA), Becca Balint (D-VT), Elise Stefanik (R-NY), Steven Horsford (D-NV), Mike Lawler (R-NY), Ro Khanna (D-CA), Nick Langworthy (R-NY), and Suhas Subramanyan (D-VA).
“To restore America as a manufacturing powerhouse, we must empower American companies with the tools they need to succeed. The BASIC Act extends and expands the manufacturing investment credit, encouraging investment in the U.S. economy and enabling companies like Micron to build factories right here in New York. This legislation works hand in hand with the Trump administration to revitalize American manufacturing and bring jobs back to the United States,” said Congresswoman Tenney.
“Bringing semiconductor manufacturing to the United States is both a critical national security priority and massive economic opportunity for the next generation of American workers,” said Congressman Carey. “Increasing and extending this tax credit will help our economy grow and create a reliable supply chain for critical semiconductors. I am proud to join with my colleagues on this legislation and look forward to it passing.”
“Bringing semiconductor manufacturing back to the United States is critical not only for our national security but also to ensure we no longer rely on adversaries like Communist China for this vital industry that powers nearly every modern technology. Extending and enhancing this tax credit will strengthen our domestic supply chain, create good-paying American jobs, and help our nation remain competitive on the global stage. I thank my friend Rep. Claudia Tenney for leading this important effort,” said Congresswoman Malliotakis.
“Securing America’s economic and national security starts with rebuilding our domestic supply chains. By strengthening and extending the semiconductor investment credit, the BASIC Act will empower American innovators, bolster advanced manufacturing, and help ensure the United States—not China—leads the future of technology,” said Congressman Fitzpatrick.
“The Building Advanced Semiconductors Investment Credit (BASIC) is critical legislation to advance semiconductor manufacturing in the U.S. BASIC will generate additional economic activity across the semiconductor ecosystem in the U.S. over the next four years to meet economic and national security goals,” said Sanjay Mehrotra, Micron Chairman, President and CEO. “Micron is appreciative of the leadership from Rep. Tenney and Members of Congress to ensure semiconductor companies can make cost-competitive, long-term investments in advanced U.S. manufacturing.
“As the historic investment being made by Micron moves forward, partners at every level of government must continue to work together to do everything we can to expedite this critical investment – especially for our national security. The Building Advanced Semiconductors Investment Credit (BASIC) is vital for semiconductor manufacturers like Micron in order to maintain global competitiveness and create certainty in their construction timelines. I want to thank Congresswoman Tenney for her leadership in advocating for the expansion of BASIC and passionate advocacy to help Central New York and Upstate New York become the hub for memory technology manufacturing in the world,” said Onondaga County Executive Ryan McMahon.
“Extending and expanding the Advanced Manufacturing Investment Credit is crucial for growth of U.S. semiconductor manufacturing to strengthen national and economic security. The Building Advanced Semiconductors Investment Credit legislation will help GlobalFoundries continue to expand and modernize our facilities in Upstate New York and Vermont, as well as to ensure that the U.S. semiconductor industry maintains global competitiveness. GlobalFoundries is proud to be making chips in America and we would like to thank Congresswoman Tenney and the co-sponsors of this legislation for their continued support for domestic semiconductor manufacturing,” said Dr. Thomas Caulfield, Executive Chairman of GlobalFoundries.
“The statutory extension of IRC §48D past its December 31, 2026 expiration is an essential factor that supports TSMC’s continued expansion in Arizona, specifically our recently announced plans to build three additional chip fabrication plants, two back-end packaging facilities, and a major semiconductor R&D center. TSMC’s overall U.S. investment now stands at $165 billion. The company is deeply grateful to Representative Tenney and her cosponsors for leading this important legislation,” said Peter Cleveland, SVP, Global Government Affairs, TSMC.
“This legislation is a timely and essential measure to secure long-term investment in the U.S. semiconductor sector and ensure our domestic industry remains competitive in an increasingly aggressive global marketplace. By increasing the investment tax credit to 35% and prolonging the eligibility period, this bill addresses the structural cost disadvantages that U.S.-based manufacturers face—especially compared to Asia—where faster permitting, cheaper labor, and state-backed subsidies give foreign competitors an unfair edge. BASIC directly offsets these imbalances and provides semiconductor manufacturers the financial certainty needed to move forward with building new fabrication facilities here in the United States over the next four years. I commend Representative Tenney and the co-sponsors of this legislation for their leadership and foresight,” said Jason Hsu, Senior Fellow, Hudson Institute.
“To win the chip race, the U.S. must continue to reinforce domestic chip production and advance innovation. The BASIC Act is a welcome effort to strengthen this proven driver of investment by increasing the credit’s rate and extending its duration, spurring continued investment in America’s growing ecosystem. This proposal, along with the expansion of the credit to include chip R&D and design, is critical to America’s competitiveness and sustained technology leadership,” said John Neuffer, President and CEO of the Semiconductor Industry Association.
“The CHIPS Act has spurred a massive resurgence in American semiconductor production. We lost our global leadership in chips, a technology we invented, because other countries pursued effective industrial strategies while we did nothing. The United States has finally woken up to the fact that we can fight back, and we have hundreds of billions of dollars in new domestic semiconductor investment to show for it. Rep. Tenney and her colleagues deserve tremendous credit for their continued focus on smart public policy that strengthens American industry,” said Chris Griswold, Policy Director, American Compass.
“The advanced manufacturing investment credit is a vital tool to support domestic manufacturing and growth of key industries like semiconductors, microelectronics and more,” said Robert M. Simpson, president of CenterState CEO, in Syracuse. “This legislation to increase the tax credit to 35% and extend its availability through 2030 will further support Central New York’s ability to lead in the domestic production of chips that we rely on every day, making the region an essential hub for advanced manufacturing and innovation, while supporting national and economic security.”
“This bi-partisan legislation is a home run for New York and its goal of being the leader is semiconductor manufacturing. We applaud Congresswoman Tenney for getting the support of 17 colleagues behind the bill. We urge all of congress to support this legislation that will undoubtedly create jobs and grow New York’s economy for years to come,” said Heather Mulligan, President & CEO, The Business Council of New York State Inc.
