WASHINGTON (NEWS10) — The U.S. Senate passed a bill aimed at increasing chip production, and it could have a major local impact. The “Chips and Science” bill passed 66 to 43.

The bill includes $280 billion in grants and tax breaks to encourage companies to build semiconductor plants in the U.S. The law is part of an effort to make America more competitive in the industry as the world deals with a global chip shortage.

Sen. Majority Leader Chuck Schumer led the push for the bill. He said it could make the Capital Region a tech hub.

“In Malta, GlobalFoundries is already establishing another chip fab, which is going to add thousands of jobs on top of the 3,000 already there,” he said. “And the head of GlobalFoundries told me this bill will make that expansion the best possible.”

A spokesperson from GlobalFoundries told NEWS10 preliminary work is underway, saying in-part:

“With that said, CHIPS funding would help accelerate our expansion and add capacity at Fab 8, in Malta.  Our goal is to be as shovel-ready as possible when that economic model is achieved, and the CHIPS Act is funded. As part of this forward momentum, we have engaged our regional and local government partners including the Towns of Malta & Stillwater, who have been consistent supporters and equal partners in the Fab 8 expansion planning process.”

The bill includes an additional $80 billion to boost new research. It now heads to the house where Sen. Schumer is confident it will pass.