The "Building Chips in America Act of 2023" has passed in the House and Senate and will go to President Joe Biden for signing, The Center Square reported. If passed, it would streamline the process of approving American manufacturers to build semiconductors.
The bill passed the House of Representatives on Monday by a 257-125 vote. It has already received a unanimous nod in the Senate and just needs Biden's signature to become law.
The legislation was a bipartisan effort initiated by Texas Republican Sen. Ted Cruz and Arizona Democratic Sen. Mark Kelly. Both lawmakers see it as necessary to make the U.S. less dependent on China for the important technology.
The new bill builds on the CHIPS and Science Act of 2021. "Today’s announcement that the Department of Commerce has finalized the first commercial CHIPS Incentives award with Polar Semiconductor marks the next phase of the implementation of the CHIPS and Science Act and demonstrates how we continue to deliver on the Investing in American agenda," Biden said in a statement.
Moving semiconductor manufacturing stateside is a boon for national security and sovereignty. Most lawmakers seemed to understand this when voting for the bill.
The bill's co-sponsors focused on independence from China as a key benefit. "I’m proud to have led this effort with Senator Mark Kelly to streamline environmental permitting for semiconductor factories, a crucial step in onshoring jobs and making our country less dependent on China for semiconductors critical to national defense," Cruz said in a statement.
Much of the manufacturing of these chips also happens in Tawain, an island nation with its own sovereignty under threat from China. The Building Chips in America Act of 2023 is also being touted for creating jobs.
Texas GOP Rep. Michael McCaul, who was one of the lawmakers who introduced the bill in the House of Representatives, championed the manifold benefits of the bill. "I introduced the CHIPS for America Act because — as President Trump’s national security team told me — there’s no time to waste in boosting domestic semiconductor chip production," McCaul said.
"The Building Chips in America Act will cement the intention of the CHIPS Act by ensuring timely production of these critical national security assets, creating thousands of American manufacturing jobs in the process. I am proud the House passed this crucial bill, which will solidify the United States’ global leadership in the semiconductor industry," the lawmaker added.
Despite the enthusiasm for the bill on Capitol Hill, environmental groups have hammered Biden, Politico reported. The Building Chips in America Act has eliminated many environmental requirements that would slow down the construction of these semiconductor manufacturing facilities.
Environmental groups believe that's a mistake. On Monday, the Sierra Club and more than two dozen environmental protection organizations sent a letter to Biden warning that if he signed the legislation, it would be bad for his legacy and the environment.
"President Biden should veto this. I expect he will veto it," Harry Manin, deputy deputy legislative director of industrial policy at the Sierra Club, told Politico. Labor groups are also concerned about new manufacturing facilities that could be unsafe for workers.
“It’s a missed opportunity. We don’t want to see the legacy of the CHIPS and Science Act being workers getting sick because of toxic chemicals on the job, or children in nearby schools and communities getting sick because of air pollution, or residents with poisoned wells and aquifers," warned Judith Barish, who coordinates a coalition of labor and environmental groups under CHIPS Communities United.
