07:31 AM EDT, 06/17/2025 (MT Newswires) -- The US Senate draft tax bill proposes increasing the tax credit for construction of microchip and high-tech manufacturing facilities to 30% from 25%, according to the text of the bill.

"The advanced manufacturing investment tax credit is equal to 25 percent of the qualified investment for a taxable year for any advanced manufacturing facility of an eligible taxpayer," the text says. "This provision will increase the credit rate to 30 percent effective for property placed in service after Dec. 31, 2025."

Bloomberg News said the proposed change would give chipmakers further incentive to break ground on new plants in the US before a 2026 deadline.