(WTAJ)– A bipartisan bill to boost micro-chip manufacturing in the United States is now headed to the President’s desk for a signature.
The 280-billion dollar package is aimed at addressing supply chain snags exacerbated by the Coronavirus pandemic. It’s a shortage that’s impacted everything from cars to essential electronics.
In an effort to supercharge the nation’s semiconductor industry Congress passed a bill aimed at boosting chip production in the United States.
The CHIPS and Science Act includes around 52 billion dollars in subsidies for U.S. companies producing computer chips and 24 billion in tax credits for new manufacturing facilities, as well as tens of billions of dollars to fund research and development.
“We will return America to world leader status in semiconductor production and power American science and research for generations to come,” House Speaker Nancy Pelosi / D-CA said.
While the bill passed both the Senate and house with bipartisan support, Republicans were divided with some saying it doesn’t go far enough to prevent investment in China, and calling it “corporate welfare.”
“I support making CHIPS in the US but we cannot lead a new era of innovation through massive government subsidies,” State Rep. Cathy McMorris Rodgers / R-WA said.
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But supporters and the Biden Administration say the bill is critical to compete with other countries and ultimately drive down prices.