Measure filed to set up industrial zone for microchip manufacturing in PR

By The Star Staff

House Government Committee Chairman Víctor Parés Otero filed a measure this week seeking to establish an industrial zone in Puerto Rico for the research, development and production of integrated circuits, better known as microchips.

“Puerto Rico has the potential to become one of the main centers for the research and development of these integrated circuits, which, in the era of digitalization, are used in the majority of equipment and systems, including computers, smartphones, tablets and motor vehicles, among others, that citizens operate daily,” the San Juan District 4 lawmaker said in a written statement. “Our island’s potential lies in a professional and efficient workforce, with decades of experience in the production of high-quality, innovative and complex products, such as pharmaceutical and digital products.”

The New Progressive Party legislator said the skilled workforce is supported by some 9,825 young people (data circa 2024) pursuing university studies in science, technology, engineering and mathematics, or STEM subjects.

Parés noted further that the microchip industry in the United States generated $9.017 billion in 2024, and it is estimated that the figure will increase to $10.180 billion by the end of 2025. Available data points to 300% growth in the sector by 2032, reaching unprecedented levels.

He pointed out that during the previous four years, the administration of President Joe Biden emphasized the creation of zones to develop industries associated with the construction of microchips.

“Unfortunately, Puerto Rico was left out of that approach,” Parés said. “However, since January of this year, the new administration of President Donald J. Trump has been promoting the creation of new microchip manufacturing bases in the United States, both in the United States and in its territory, with the aim of fostering an industrial renaissance in the nation and eradicating dependence on foreign products.”

He added that the “current administration’s new industrial policies in the federal capital, combined with Governor Jenniffer González’s vision and commitment to expanding the island’s industrial base and streamlining the relocation or reshoring process, make Puerto Rico the ideal location for the establishment of industries related to the development of microchips.”