Intel Corp’s brand new president and chief executive, Craig Barrett, will visit Australian prime minister John Howard on Friday, and on the table will be a proposal for a $6bn chip manufacturing plant. Whether or not Intel chooses Australia as the preferred location for its new plant will depend on Howard’s willingness to agree to tax concessions and subsidies to offset Intel’s establishment costs. Nevertheless, it is likely that Intel will have quite a bit of leverage in the negotiations – the PM has been chasing the chip facility deal for some time – and it is no secret that extra jobs and export dollars will look good for the government in an election year. In any event, the government views Friday’s meeting as critical – the roll call of ministers scheduled to attend includes the treasurer, industry minister, and communications minister.
