Intel, Micron spending spree shows chip diplomacy bearing fruit

Intel Corp. and Micron Technology Inc. are planning to spend billions of dollars on new chip plants outside of the US, highlighting a global race to diversify supplies of critical components amid tensions with China.

Intel Chief Executive Officer Pat Gelsinger flew to Wroclaw, Poland, to announce a new $4.6 billion chip facility in the 1,000-year-old university town, marking a record US investment in the country. Micron is close to an agreement to commit at least $1 billion toward setting up a semiconductor packaging factory in India, people familiar with the matter said.

Washington is seeking to strengthen key supply chains outside of China as it works to contain Beijing’s geopolitical ambitions.