Commerce Secretary Gina Raimondo this week urged Congress to pass a $52 billion increase in government funding for semiconductor production and research before lawmakers leave for their August recess.
The Senate passed the measure with a 62-38 vote on June 8, as well as authorized $190 billion intended to help the country’s ability to compete with Chinese technology. “It’s vital, it’s necessary and I hope they finish it and I hope they finish it soon – certainly before they break for summer recess in August,” Raimondo told Reuters. “All signals from the House have been positive that they support getting something done in a short period of time.”
The worldwide chip shortage has forced automakers to cut production and is impacting telecom as well, Inside Towers reported. Raimondo said she does not see any significant differences between how House and Senate leaders view the semiconductor funding issue. She said it’s not clear what vehicle Congress will use to approve semiconductor funding, which she described as “fundamentally vital to national security and economic security.”
Raimondo plans to speak soon with House Speaker Nancy Pelosi about the chip funding. “I am just going to urge her to do whatever needs to be done to get this through her chamber,” Raimondo said. But she acknowledged the House will “want to put their stamp on this” and is not likely simply to approve the Senate bill, called the U.S. Innovation And Competition Act.
Asked if the administration had ruled out using the Defense Production Act to speed chip production, she said the focus was on action by Congress. “We’re going to pursue that path for now,” she said.
Reader Interactions