Fetterman Celebrates $132 Million CHIPS Act Boost for Pennsylvania’s Semiconductor Manufacturing in Bethlehem and Easton

Braddock, PA  Today, U.S. Senator John Fetterman (D-PA) celebrated the Department of Commerce’s announcement of two CHIPS Act funding awards for semiconductor production in the commonwealth. The investments include up to $79 million to expand Coherent’s Easton facility and $53 million for Infinera’s new Bethlehem operations.

“The CHIPS Act continues to deliver for our workers and our economy. This funding will help create more good-paying jobs, strengthen our supply chains, and reinforce Pennsylvania’s position as a hub for innovation and opportunity. Investing in American industry is betting on America’s future and I’m all in,” said Senator Fetterman. 

Coherent’s award of up to $79 million will help expand capacity to produce 150mm and 200mm silicon carbide (SiC) substrates—key components for electric vehicles and military applications. The Easton expansion is expected to increase production by over 750,000 substrates annually and more than double the output of epitaxial wafers, creating 320 manufacturing jobs and 40 construction jobs.

Infinera will receive up to $93 million in CHIPS funding, with $53 million dedicated to building an advanced test and packaging facility in Bethlehem, Pennsylvania. This facility, alongside Infinera’s expanded operations in San Jose, California, will exponentially increase the company’s domestic manufacturing capacity. This investment will create approximately 500 manufacturing jobs and 1,200 construction jobs in Pennsylvania, supporting the production of more energy-efficient components for broadband and optical network infrastructure.

The CHIPS and Science Act is boosting U.S. semiconductor production, cutting reliance on foreign supply chains, and driving innovation. Over $33 billion in CHIPS funding has been awarded to date, creating 125,000 jobs across 22 states. Pennsylvania’s strategic location and skilled workforce make the commonwealth central to this national effort.

More information about CHIPS funding for Coherent  and Infinera.