WASHINGTON, D.C. – The pandemic, supply chain issues and our dependence on other countries to manufacture semiconductor chips has resulted in price increases for many electronics. However, the U.S. Senate is slated to move forward on a bill that would address that.
A proposed ‘chips’ bill would provide around 50 billion in subsidies and an investment tax credit to encourage semiconductor companies to boost chip manufacturing in the U.S. These chips are used in everyday items like dishwashing machines, cars and small electronics.
Michigan’s Senators have been pushing for this legislation for some time. We asked them how this will benefit the U.P:
“So the science provisions are very, very important for us in terms of new technologies and so on as well as what we’re doing parts and when we look at the U.P. and the number of manufacturers that are there as well that is all part of the supply chain and there’s no doubt we’ll be seeing funding and jobs coming to the U.P. as well,” said Sen. Debbie Stabenow (D- MI).
“In addition to jobs, this lowers the cost of things in the U.P. as well as consumers all across the country,” said Sen. Gary Peters (D-MI). “When we have a shortage of chips that drives up cost and we want to make sure that we have a very competitive marketplace.”
Manufacturing experts said it will take about two years to build a new chip facility and get that up and running if this bill is signed into law. Even though it will take some time, Senators on both sides of the aisle say in the long run, this bill will help us become less dependent on China for these chips.
