Chip bosses write to Pelosi to speed up Chips Act

Author: EIS Release Date: Jun 23, 2022

The US chip industry is getting increasingly edgy about the hold-up in getting the Chips Act implemented.

 

Although both Houses of Congress passed separate versions of the bill in February, wranglings continue over reconciling the different versions and over where the $52 billion should be allocated , while some Congressmen are having doubts about the value of the whole project.

 

The SIA has organised a letter to Nancy Pelosi asking for action signed by industry notables.

 

Here it is:

 

December 1, 2021

 

The Honorable Nancy Pelosi Speaker of the House

U.S. House of Representatives Washington, D.C. 20515

 

The Honorable Charles Schumer Senate Majority Leader

U.S. Senate

 

Washington, D.C. 20510

 

The Honorable Kevin McCarthy House Republican LeaderU.S. House of Representatives Washington, D.C. 2051

 

The Honorable Mitch McConnell Senate Republican Leader

U.S. Senate

Washington, D.C. 2051

 

Dear Madam Speaker, Leader Schumer, Leader McConnell, and Leader McCarthy:

 

On behalf of the undersigned business leaders representing major companies behind the products and technologies driving innovation and growth throughout the economy, and supporting millions of jobs for Americans, we call on Congress to take prompt action to fund the “Creating Helpful Incentives for the Production of Semiconductors” (CHIPS) for America Act and enact a strengthened version of the “Facilitating American Built Semiconductors” (FABS) Act to include an investment tax credit for both design and manufacturing.

 

As you know, semiconductors are essential to virtually all sectors of the economy – including aerospace, automobiles, communications, clean energy, information technology, and medical devices. Unfortunately, demand for these critical components has outstripped supply, creating a global chip shortage and resulting in lost growth and jobs in the economy.

 

The shortage has exposed vulnerabilities in the semiconductor supply chain and highlighted the need for increased domestic manufacturing capacity.

Funding the CHIPS Act and enactment of a strengthened FABS Act will help meet this long-term challenge by incentivizing semiconductor research, design, and manufacturing in the U.S., thereby strengthening the U.S. economy, national security, supply chain resilience, and increasing the supply of chips so important to our entire economy.

 

We ask you to prioritize actions to help strengthen the U.S. semiconductor ecosystem. The Senate has already approved funding for CHIPS on a bipartisan basis. The House must now move forward to approve the funding. The chip shortage poses risks to our entire economy and time is of the essence.