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5N Plus Secures $7.3 Million U.S. Contract to Boost Semiconductor Supply

The U.S. Department of Defense has awarded $7.3 million to Montreal-based 5N Plus to establish a domestic production line for gallium arsenide. This strategic move aims to eliminate reliance on foreign suppliers for the critical semiconductor material, which powers advanced sensing systems and sensitive defense hardware.

5N Plus Secures $7.3 Million U.S. Contract to Boost Semiconductor Supply

The project will be housed at the company's existing facility in St. George, Utah. By localizing production, 5N Plus intends to close a significant supply chain vulnerability that currently forces contractors to source materials from overseas markets. Gallium arsenide remains essential for high-performance defense and space applications, making the Utah plant a vital node for national security infrastructure.

Chief Executive Officer Richard Perron described the contract as a dual-purpose victory. Beyond meeting immediate defense requirements, the investment creates a scalable foundation for the company to capture long-term demand across the broader aerospace and defense sectors.

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