After being passed by the Senate on Wednesday, the House on Thursday introduced the bill that will help build a stronger semiconductor industry in the US. With 243 votes to 187, the “Chips and Science” bill passed with bipartisan support. 218 Democrats voted for the bill that joined 24 Republicans with one Democrat marked as in attendance.
The “Chips and Science Bill” had bipartisan support and is now going to the White House to be signed by the president
Render of TSMC’s chip factory under construction in Arizona
Congress would have to pass separate credit laws to fund investment for scientific research. Democratic Senate leader Chuck Schumer said, “This legislation will create high-paying jobs, ease supply chains, help lower costs and protect America’s national security interests.”
Senator Mark Warner, the senior U.S. Senator from Virginia, said, “Had we not done this, no other American semiconductor manufacturing plant would have been built in this country.” The senior senator from Texas, Republican John Cornyn, noted: “This is a bad day for President Xi and the Chinese Communist Party. The slumbering giant that is America has finally awakened to the challenge we face from the People’s Republic of China .”
Without the bill, US GDP would have fallen by 10% and the auto industry would have collapsed
The Chinese embassy in Washington said it was “firmly against the bill”. China called it “anchored in the Cold War and zero-sum game mentality and goes against the common aspiration of people from all sectors in China and the US to strengthen exchanges and cooperation.”
The bill is vital to the future of American technology. Senator Mark Kelly (D-AZ) said that if the US lost access to chips produced in Taiwan, US auto production would cripple and gross domestic product (GDP) could fall by 10%. The latter is a measure of the value of the goods and services produced in the states minus the value of the goods and services used in production.
The bill now goes to the White House, where President Biden is expected to sign it.