Welsh semiconductor manufacturer IQE, known as Project Electro, commits to Greensboro expansion
IQE Inc., a Welsh semiconductor manufacturer, confirmed Monday expansion plans for its Greensboro facility that will add 109 jobs and spend $305 million on capital investments.
IQE is the company behind the Project Electro economic-development project pursuing local and state performance-based incentives.
The manufacturer cited funding from the Biden administration's CHIPS Act as a key motivator for the expansion at its 494 Gallimore Dairy Road plant. It said the expansion is "subject to customer commitments and funding from the federal CHIPS Act."
IQE currently has 72 employees where it makes epi wafers using molecular beam epitaxy for the defense and aerospace industries.
"This potential investment would add a new, complementary epitaxy called metal-organic chemical vapor deposition, and would provide a new clean technology for semiconductor chip production to help serve the electric vehicle market," according to a news release from the governor's office.
A primary goal of the Creating Helpful Incentives to Produce Semiconductors (CHIPS) and Science Act of 2022 is helping to secure a reliable domestic supply of the semiconductors that will underpin the future energy economy and artificial intelligence boom.
In IQE's instance, the production expansion is geared toward compound semiconductor material.
"Greensboro has proven to be a strategic location for IQE and has provided access to exceptional talent," said Jutta Meier, IQE's interim chief executive.
"We look forward to continuing our partnership with the city as we progress further with our application for government funding via the CHIPS Act, which along with funding commitments from the state, will provide us with the capital to invest and expand our local footprint."
The average annual wage will be $64,908, which exceeds the Guilford County average of $58,843.
IQE chose not to wait on the typical economic-incentive package timing of being approved for local incentives before committing to a project.
The manufacturer has been made eligible for up to $275,000 in incentives from the One North Carolina Fund that requires local matching incentives.
The Guilford County Board of Commissioners is scheduled a public hearing for 5:30 p.m. Nov. 7 at the Old County Courthouse, 301 W. Market St. in Greensboro. The commissioners are proposing to offer up to $2.62 million toward the expansion project in the form of an Economic Development Incentive grant.
The company would be required to fulfill the job and capital investment pledges by Dec. 31, 2027, to qualify for the full county incentive package.
The Greensboro City Council plans to vote on whether to approve up to $2.4 million in incentives.
IQE, as Project Electro, is by far the largest economic-development project disclosed during 2024.
Clearly Clean Products LLC took in June the unusual step of committing to an economic-development project before being approved for local incentive packages. Clearly Clean, based in Orwigsburg, Pa., was identified as "Project Mercury" in legal notices.
The company plans to create at least 80 jobs and spend $26.94 million on capital investments, both by Dec. 31, 2028. The company will use a prospective Class A industrial building at 3617 McConnell Road in McConnell Business Park and a second building at 3655 McConnell Road, with plans also calling for a third building at the site.
Also in June, James M. Pleasants Co. Inc., a Greensboro-based distributor and sales representative of HVAC, plumbing and other industrial equipment, confirmed it would consolidate its headquarters, distribution and light manufacturing operations into a single unidentified facility.
The company currently is based at 603 Diamond Hill Court with 113 employees. The expansion will feature 40 new jobs and a $30 million capital investment, both over a five-year period.
