Public Funding |
12 Months Ended |
|---|---|
Dec. 31, 2025 | |
| Government Assistance [Abstract] | |
| Public Funding | PUBLIC FUNDING The main government assistance received by the Company are classified under four general categories: funding for Research and Development (R&D), R&D and Innovation activities (RDI), funding for First Industrial Deployment activities (FID) and capital investments for pilot lines and other industrial activities. related to public funding totaled $1,219 million as of December 31, 2025 ($766 million as of December 31, 2024), of which $678 million reported on the line “” and $541 million reported on the line “" of the consolidated balance sheet as of December 31, 2025 ($391 million and $375 million, respectively, as of December 31, 2024). The receivables related to public funding included $494 million of capital grants associated with capital investments projects for the Company's 300mm wafer fab in France and its silicon carbide manufacturing activities in Italy ($218 million as of December 31, 2024). These public funding programs also set forth a clawback mechanism according to which the public government agencies will require, at specific future testing dates, the remeasurement of the aid, which may trigger future payments by the Company. No provision was recorded as of December 31, 2025 and December 31, 2024 in relation to this clawback mechanism. mainly related to deferred income on public funding totaled $237 million as of December 31, 2025 ($214 million as of December 31, 2024), of which $113 million reported on the line “” and $124 million reported on the line “” of the consolidated balance sheet as of December 31 , 2025 ($42 million and $172 million, respectively, as of December 31, 2024). For the year ended December 31, 2025, the Company recorded $219 million of public funding related to R&D and innovation activities, reported on the line “” of the consolidated statement of income compared to $266 million for the year ended December 31, 2024, and $201 million for the year ended December 31, 2023. The Company reported as a reduction of in the consolidated statement of income for the year ended December 31, 2025 a total $136 million amount related to FID funding programs compared to $83 million for the year ended December 31, 2024 and $30 million for the year ended December 31, 2023. Additionally, $119 million, $76 million and $31 million grant income was recognized as compensation of depreciation expense in 2025, 2024 and 2023, respectively, as part of the Company’s capital funding schemes. In 2023, the Company and Sanan Optoelectronics jointly created SANAN, STMicroelectronics Co. Ltd. (“Sanan ST JV”), for high-volume 200mm SiC device manufacturing in China. The entity has been identified as a VIE for which the Company is the primary beneficiary. As such, the joint venture was fully consolidated as of December 31, 2025, December 31, 2024 and December 31, 2023, as further described in Note 12. Sanan ST JV is part of a capital funding scheme with Chinese regional agencies. As of December 31, 2025, long-term liabilities related to public funding included $333 million advances from capital grants received as part of this funding program ($385 million as of December 31, 2024), as further described in Note 17. The Company also benefits from research tax credits and other tax incentives to foster research and innovation activities, together with capital investments in certain tax jurisdictions, primarily in France and Italy. These research tax credits and tax incentive schemes are further described in Note 23. Research tax credit receivables totaled $339 million and were reported on the line “Other non-current assets” of the consolidated balance sheet as of December 31, 2025 ($231 million as of December 31, 2024). The research tax credit income totaled $122 million and was reported as a reduction of “Research and development” in the consolidated statement of income for the year ended December 31, 2025 compared to $140 million for the year ended December 31, 2024 and $126 million for the year ended December 31, 2023.
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