The CHIPS act (Creating Helpful Incentives to Produce Semiconductors for America Act) just passed the Senate 64 - 33 with the support of 17 Republicans. Hours after Sen. Manchin agreed to support the Biden initiative addressing climate change, taxes, health care and inflation, the GOP then furiously scrambled to deny the Biden administration any sort of further accomplishment. House leadership urged its members to oppose the CHIPS — Plus bill in the House, regardless of how important that might be for the economy and national security thehill.com/….
The measures in the CHIPS bill include more than $52 billion in incentives for U.S. companies to produce computer chips here in the U.S., as well as a tax credits for investment in chip manufacturing. It also provides funding to spur the innovation and development of other U.S. technologies.
The CHIPS bill aims not just to shorten the supply chain for manufactured consumer goods, helping to rectify chip shortages that have plagued manufactures, effectively causing the current recession www.bloomberg.com/... , but also to preserve and protect the ability to manufacture high tech chips that are critical for an array of military systems crucial for national defense. fortune.com/…
Semiconductors are essential components of cars, smartphones, home appliances, medical equipment as well as weapons systems. The chip industry is dominated by manufacturers located on the island of Taiwan, where a handful of firms churn out roughly 90% of the world’s most advanced chips. Chinese indifference to the Russian invasion of Ukraine has clearly demonstrated the vulnerability of Taiwan and the precarious strategic position that the US would find ourselves in, should China reclaim Taiwan, and with it assume control over 90% of the world’s chip production www.nytimes.com/...www.msnbc.com/... .
The risks are real and clear and present, but House Republican leadership appears to fear another Biden success more than the prospect of future Chinese control of the advanced chip market.
Earlier today the House approved the measure 243-187 despite House Republican leadership’s efforts to kill the bill www.nytimes.com/... , demonstrating once again what a bunch of twisted faux patriots they really are.