Published

Biden Signs $280 Billion CHIPS Act in Bid to Boost U.S. over China

New legislation was developed to strengthen the domestic chip manufacturing industry and finance scientific research in competition with China.

Share

On August 9, 2022, President Biden signed the legislation known as CHIPS Plus. This new legislation was developed to strengthen the domestic chip manufacturing industry and finance scientific research to shore up competitiveness with China.

Chip
Photo Credit: Getty Images

The bill’s passage through both chambers marks a significant legislative achievement after more than a year of negotiation.

The new law:

  • Allocates $54 billion for chips and public wireless supply chain innovation ($39 billion of this goes towards financial assistance to build and modernize semiconductor facilities in the U.S.)
  • Provides $80 billion to the National Science Foundation authorized over five years to support research and innovation
  • Establishes 25% tax credit for investment in semiconductor manufacturing
  • Includes a $1 billion pilot program for the Commerce Department to provide grants to assist distressed communities to fund economic development activities.

White House officials expect the new legislation to spur the construction of new chip plants in the U.S. soon. The hope is that the building of these plants creates construction jobs and, following this, the new facilities eventually boost the availability of manufacturing jobs.

Source: Valve Manufacturers Association

RELATED CONTENT

  • Flowserve to Acquire Valve Manufacturer MOGAS

    Flowserve announces intended acquistion of Mogas Industries, severe service valve manufacturer in Houston, Texas.

  • VMA News

    VMA and VRC Annual Meeting Elicits Positive Attendee Experiences The Valve Manufacturers Association (VMA) celebrated its 86th Annual Meeting October 2-4, 2024, in Park City, Utah, with strong attendance and positive reviews from attendees.

  • IoT Breakthrough Awarded to Emerson

    The ninth annual award recognizes Emerson’s workflow management software for its work helping life sciences companies efficiently develop, scale and manufacture.