UPDATE 1-Intel to get $3.2 billion government grant for new $25 billion Israel chip plant

Israel's government agreed to give Intel Corp a $3.2 billion grant for new $25 billion chip plant it plans to build in southern Israel, both sides said on Tuesday. The news comes as Israel remains locked in a war with Palestinian militant group Hamas in the wake of the Oct. 7 Hamas attack on Israel. The expansion plan for its Kiryat Gat site is an "important part of Intel’s efforts to foster a more resilient global supply chain, alongside the company’s ongoing and planned manufacturing investments in Europe and the United States," Intel said in a statement.