The Biden administration has approved a $225 million grant to Bosch for a manufacturing facility in Roseville focused on producing silicon carbide power semiconductors, as announced by both the administration and the German tech company. This funding is part of the CHIPS for America initiative, aimed at boosting U.S. semiconductor production.
CBS News reports that silicon carbide semiconductors, while more expensive than standard silicon chips, offer greater energy efficiency and are key for industries like automotive, telecommunications, and defense. U.S. Secretary of Commerce Gina Raimondo emphasized their importance, noting their energy-saving benefits. The $225 million government grant will complement Bosch's $1.9 billion investment in the Roseville facility, which was announced in 2023 after Bosch acquired TSI Semiconductors.
Paul Thomas, Bosch's president in North America and of Bosch Mobility Americas, emphasized the strategic importance of the Roseville plant, "The Roseville investment enables Bosch to locally produce silicon carbide semiconductors, supporting U.S. consumers on the path to electrification," as mentioned in a report by CBS News. The projected output from the Roseville plant has deep implications for various sectors, notably in electric vehicles where the use of SiC chips can enhance driving and charging efficiencies.
Constructing this advanced manufacturing center, Bosch is projecting the creation of around 1,000 jobs. Once operational, it will not only support 700 manufacturing, engineering, and research and development positions but is also expected to dominate Bosch's total SiC semiconductors production capacity, with the Department of Commerce writing, "When at full capacity, this proposed project is expected to produce the majority of Bosch’s total capacity of SiC semiconductors and could comprise more than 40% of all U.S.-based SiC device manufacturing capacity," according to a report from FOX40 News. The first chips from this highly anticipated facility are slated to commence production in 2026.
