Senate approves Bipartisan legislation from Harris to assist semiconductor manufacturers

Semiconductor manufacturers in Washington could receive a nice break thanks to a bipartisan bill from Rep. Paul Harris that would reinstate semiconductor tax incentives.

The Washington State Senate voted 47-1 in favor of House Bill 2482 on Friday, which would extend two tax preferences for semiconductor manufacturers for 10 years.

“These companies chose Southwest Washington because we have clean, affordable energy and a strong workforce. They do a lot of good in our community by providing thousands of jobs and boosting our economy,” said Harris, R-Vancouver. “We need to keep these jobs here and extend these tax breaks so these manufacturers can stay competitive in a world market.”

In addition to extending the two tax preferences, the bill would reinstate six tax preferences that expired on Jan. 1, 2024. They would remain valid until Jan. 1, 2034, contingent on construction of a new semiconductor manufacturing fabrication by Jan. 1, 2034, with an investment of at least $500 million in buildings and equipment.

“This bill is significant for Clark County residents and the two semiconductor manufacturers that call Southwest Washington home,” said Harris. “They both operate in a global economy, and they need every advantage we can offer them.

“These are phenomenal companies that provide more than 3,000 jobs and help boost Washington’s economy. We need to reinstate these tax exemptions so they can continue to invest in our community in the future.”

In 2022, the semiconductor industry created $2.5 billion in wages and was the eighth largest export for Washington at $898 million. Semiconductor manufacturing jobs are expected to double in the next 10 years. Additionally, out of the 50,632 semiconductor manufacturing jobs in Washington, 55% of these jobs are in Clark County.

Because the bill was amended in the Senate, it will go back to the House for a concurrence vote before heading to the governor’s desk for his signature.

###

Washington State House Republican Communications
houserepublicans.wa.gov