Semiconductor manufacturing projects in Pennsylvania's Lehigh Valley face significant uncertainty following shifts in federal policy. Coherent Corp. and Infinera were slated to receive funding under the 2022 CHIPS and Science Act. These expansions promised to create hundreds of new local jobs.
President Trump has strongly criticized the CHIPS Act, describing the legislation as wasteful and calling for its repeal. The administration is reportedly considering replacing the law with a system of tariffs and tax cuts.
This policy shift has halted the distribution of promised federal funds. Future expansions for Coherent and Infinera remain in doubt as the administration weighs modifying or repealing the current law.