01.26.22

Peters-Secured Semiconductor Chips Funding Included in House Competitiveness Bill

House Legislation Includes Key Provisions Peters Secured to Strengthen Manufacturing & Expand Domestic Semiconductor Production

DETROIT, MI – U.S. Senator Gary Peters (MI), a member of the Senate Commerce, Science and Transportation Committee, today announced that legislation unveiled in the U.S. House of Representatives includes full funding he championed to bolster domestic semiconductor manufacturing. The House-introduced legislation mirrors provisions that Peters previously helped pass out of the Senate along with U.S. Senator Debbie Stabenow (MI) to establish a $2 billion supplemental domestic semiconductor manufacturing incentive program at the Department of Commerce – which would support the production of mature semiconductor technologies. These are particularly critical for industries that have been severely impacted by a recent shortage – including the American auto industry. Peters and Stabenow recently urged Congressional leadership to include their provision in the final competitiveness package.

“You can’t be a great country if you don’t make things – and we must ensure that Michigan and the U.S. can continue to lead the way in manufacturing and innovation,” said Senator Peters. “To maintain our global leadership and strengthen our economic competitiveness, we must counter the actions of competitors like the Chinese government – which is aggressively investing in the research and development of new technologies. We have seen how the ongoing semiconductor shortage has caused major disruptions for Michigan’s manufacturers and automakers, and exposed an overreliance on foreign producers. That’s why I’m pleased this critical legislation includes my provision to expand mature semiconductor production right here at home and support Michigan workers. I’ll continue to push for it to be signed into law swiftly.”

Peters has repeatedly pressed for action to address the semiconductor shortage crisis. Peters led a letter to the Taiwanese government urging it to increase chip production and do everything possible to mitigate the ongoing chip shortage. Additionally, Peters has raised this supply chain disruption with numerous Biden Administration officials in conversations both before and after President Biden took office – including during a roundtable discussion with Commerce Secretary Gina Raimondo in Michigan. Peters has also introduced and advanced bipartisan legislation in the Senate to streamline federal efforts to strengthen and expand domestic manufacturing of semiconductor chips, and bolster American semiconductor production and supply chains.

The bill unveiled by the House of Representatives also includes the bipartisan Investing in Domestic Semiconductor Manufacturing Act that Peters previously introduced. The legislation would ensure that federal incentives to boost domestic semiconductor manufacturing include U.S. suppliers that produce the materials and manufacturing equipment that enable semiconductor manufacturing. In doing so, the legislation strengthens the supply chain for semiconductors and bolsters Michigan manufacturers.

Peters’ bipartisan legislation to revive and elevate the National Manufacturing Advisory Council – which advises the federal government on manufacturing programs and policy – is also in the legislation. The Council advises the federal government on manufacturing programs and provides private sector guidance and insight to the federal government. The Council has met intermittently in recent years, and this bill would more formally establish the Council as a critical component in federal manufacturing policy and strategy. The package also authorizes increased funding for the Manufacturing Extension Partnership program, which has been a priority for Peters. 

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