U.S. President Joe Biden and Commerce Secretary Gina Raimundo plan to announce a multibillion-dollar grant package in Arizona next week to support Intel's expansion of chip production in the United States, two people familiar with the matter said Thursday。

Intel also invited customers and suppliers to participate in the event.。

Intel has sought to fund expansions in Ohio and Arizona, a key political swing state that Biden hopes to win in the November election and which he is running against Republican Donald Trump.。

Intel's grant, which will consist of grants and loans, is the most significant since the enactment of the 2022 Chip and Science Act, a planned $52.7 billion in U.S. funding to boost domestic semiconductor production, including $39 billion for semiconductor production and $11 billion for research and development subsidies.。

Last month, the Biden administration offered $1.5 billion to GlobalFoundries, the world's third-largest chipmaker, to build a new semiconductor manufacturing facility in Malta, N.Y., and expand existing operations in the region and Burlington, Vermont.。

In January, the Commerce Department said it plans to offer Microchip Technology 1.$6.2 billion in government grants。The U.S. government is also expected to provide subsidies to South Korea's Samsung and Taiwan's TSMC in the near future.。

According to the Semiconductor Industry Association, the U.S. share of global semiconductor manufacturing capacity fell from 37 percent in 1990 to 12 percent in 2020.。

Intel's grant will cement Arizona's position as a domestic chip manufacturing powerhouse, with Taiwan's TSMC announcing a new plant in Phoenix in 2020 and Intel announcing plans last year to build two more plants on the Chandler campus there.。

Intel also announced plans to build a $20 billion chip manufacturing complex in Albany, Ohio, construction of which was reported last month to be expected to be completed by the end of 2026.。