CGA Submits Comments Regarding the Notice of Proposed Rulemaking Implementing the CHIPS and Science Act

May 23, 2023

On May 22, 2023, the Compressed Gas Association (CGA), submitted comments on the Notice of Proposed Rulemaking (NPRM) regarding the implementation of CHIPS and Science Act that was signed into law by President Biden in August 2022.

The CHIPS and Science Act provides for a 25% tax credit for the qualified investment of an advanced manufacturing facility. An advanced manufacturing facility (AMF) is a facility for which the primary purpose is the manufacturing of semiconductors or semiconductor manufacturing equipment (SME).

Many industrial gasses are specialized and integral to the manufacture of semiconductors. The current rules define SME as specialized equipment integral to the manufacturing of semiconductors and the subsystems that enable or are incorporated into the equipment. The definition includes specific examples of SME and subsystems that enable SME. The CGA is requesting a clarification of the definition of subsystems to include industrial gases.

We also highlight the importance of clarifying the definition of an advanced manufacturing facility (AMF), particularly in cases of co-locations and multiple owners. We propose that certain factors should be considered collectively as an AMF to prevent any unfair outcomes.

If you are interested in reading the full comments submitted by CGA, please email Paul Pflieger at