The Commerce Department this week announced plans to provide about $20 billion in funding and loans to Intel under the Chips Act, which it said will “strengthen” the U.S. semiconductor supply chain by ensuring more leading-edge logic chips are made in America. Commerce said Intel expects to invest more than $100 billion over the next five years to set up new chip fabs and other facilities in Arizona, New Mexico, Ohio and Oregon, and coupled with Chips Act funding, that “would mark one of the largest investments ever announced in U.S. semiconductor manufacturing.”
The State Department approved a potential $90.6 million military sale to Italy, the Defense Security Cooperation Agency said March 15. The sale includes “AIM-9X Sidewinder Missiles” and related equipment, and the principal contractor will be RTX Corporation.
The Federal Maritime Commission approved a settlement between Rahal International and Hapag-Lloyd and dismissed the complaint between both parties. The settlement, approved on March 15, comes after Rahal accused Hapag-Lloyd in June of failing to establish adequate facilities to return empty containers to the Port of New York and New Jersey and unfairly charging detention and demurrage (see 2307050034).
The State Department approved three potential military sales to Poland worth more than $3 billion, the Defense Security Cooperation Agency said March 12. One sale includes $1.77 billion worth of “AGM-158B-2 Joint Air-to-Surface Standoff Missiles,” provided by principal contractor Lockheed Martin. Another sale includes $1.69 billion worth of “AIM-120C-8 Advanced Medium-Range Air-to-Air Missiles,” with RTX Corp. as the principal contractor. Poland also will get $219.1 million worth of “AIM-9X Block II Sidewinder Missiles,” also from RTX Corp. as principal contractor.
The American Apparel and Footwear Association called on President Joe Biden to help restart labor contract negotiations between the International Longshoremen’s Association and the United States Maritime Alliance, in a letter dated March 12. The labor contract covering East Coast and Gulf Coast ports expires at the end of September, and the negotiations have been stalled since March 2023, the AAFA said.
The State Department approved a potential military sale to North Macedonia worth about $111 million, the Defense Security Cooperation agency said March 8. The sale includes “Joint Light Tactical Vehicles” and other “elements of logistics and program support.” The principal contractors will be Oshkosh Defense, AM General, Leonardo DRS and L3Harris.
To enhance U.S. and allied restrictions on dual-use exports, the Biden administration’s FY 2025 budget request, unveiled March 11, would provide $223 million for the Bureau of Industry and Security, up 17%, or $32 million, from the FY 2024 enacted level of $191 million, the Commerce Department said.
The State Department approved two potential military sales, to Canada and South Korea, worth more than $300 million combined.
U.S. companies that sell defense products or services to foreign countries or entities must report all offsets agreements greater than $5 million to the Bureau of Industry and Security by June 15, the agency said in a notice. Companies also must report information on offsets transactions completed “in performance of existing offsets commitments for which offsets credit” of $250,000 or more “has been claimed from the foreign representative,” the notice said. Commerce is asking for reports of offsets transactions that took place during calendar year 2023.
American chip company Applied Materials has received multiple U.S. government subpoenas in recent months -- including one from the Bureau of Industry and Security -- asking for information about its exports to Chinese customers.