WASHINGTON: US President Donald Trump has announced a $1.5 billion Pentagon investment in semiconductor production and a new industrial minerals manufacturing facility in North Carolina, linking the expansion of America's technology industry to national security, tariffs and efforts to reduce dependence on foreign supply chains. Addressing a Republican campaign rally in Greenville on Tuesday (local time), Trump said his administration was rebuilding domestic manufacturing capacity in strategically important industries, including semiconductors, pharmaceuticals and aerospace. The announcements came as Trump sought support for Republican candidates ahead of the November 3 congressional elections, warning that Democratic control of Congress could threaten his economic and security policies.
"The Department of War will be investing $1.5 billion to produce cutting-edge semiconductor chips right here in North Carolina," Trump said.
The President argued that decades of industrial policy had allowed much of the semiconductor industry to move overseas, particularly to Taiwan. He said major chip manufacturers were now investing hundreds of billions of dollars in American facilities, including projects in Arizona and possible further expansion in Texas.
"We're going to have close to 50 per cent of the chip business in a very short order," Trump said, presenting the forecast as evidence of his administration's manufacturing strategy.
The President attributed the expansion of domestic manufacturing to his tariff policies, arguing that foreign companies were increasingly choosing to produce goods inside the United States rather than face import duties.
He claimed his administration had secured $22.2 trillion in investment commitments, although the figure was not independently established in the supplied transcript. (IANS)