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Bipartisan Semiconductor Chip Production Deal Revealed In U.S. Senate

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President Joe Biden announced back in early April that he would meet with automakers and chipmakers to discuss the ongoing semiconductor chip shortage. At that time, Biden also said that the U.S. Senate was working on bipartisan legislation to address the issue in the long term. Now, as promised, a new, $52 billion dollar semiconductor chip production deal has been revealed in the Senate by Democratic leader Chuck Schumer, according to Reuters.

“American manufacturing has suffered rather dramatically from a chip shortage,” Schumer said. “We simply cannot rely on foreign processors for chips. This amendment will make sure that we don’t have to. If we don’t step up in a big and bold way, we risk missing out on a generation of good-paying jobs, millions and millions of them.”

The proposed semiconductor chip production deal calls for $49.5 billion in spending in order to “support the rapid implementation of the semiconductor provisions” and is part of a $120 billion dollar bill that addresses a broad range of technology-related competitive issues the U.S. faces against China. A number of automakers, including Ford, have called for increased domestic chip production in recent months.

“There is an urgent need for our economic and national security to provide funding to swiftly implement these critical programs,” the bill reads. “The Chinese Communist Party is aggressively investing over $150 billion in semiconductor manufacturing so they can control this key technology.”

Meanwhile, Ford recently announced that it may lose one-half of its total output in Q2 as it continues to slash production by tens of thousands of vehicles per week as a direct result of the chip shortage. Experts believe that globally, automakers stand to lose as much as 2.85 million units of production and $110 billion in 2021.

We’ll have much more on the chip shortage soon, so be sure and subscribe to Ford Authority for ongoing Ford news coverage.

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Brett's lost track of all the Fords he's owned over the years and how much he's spent modifying them, but his current money pits include an S550 Mustang and 13th gen F-150.

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Comments

  1. Mark B

    Well, better sooner than later.

    Reply
  2. Andrew Christian

    Awesome news! Reliance on foreign powers for our semiconductor needs only puts us at a disadvantage competitively. Would love to see these types of high-technology jobs come to the US in force!

    Reply
  3. Arcee

    Funny…the previous administration was skewered when this type of initiative was pushed four years ago. Now the new administration recognizes the issue and there is “bipartisan” support. Interesting.

    Reply
  4. Gary.

    I don’t think it was really pushed!

    Reply
  5. Bob Dobson

    Trump hammered China, Liberals called him a racist, now it’s all coming back to haunt America because Trump was right. Biden could do exactly the same thing Trump did and the mainstream media won’t run anything on it.
    China’s problems are over now that Trump is gone and America has sleepy uncle Joe the Alzheimer’s patient running the country. Thanks Liberals!

    Reply
  6. Michael

    hmmm…that sounds very familiar….

    kind of like “Buy American—Hire American”

    snicker

    Reply
  7. Mike says..

    I don’t think you will ever see or hear ‘bipartisan support and republican’ in the same sentence. You got to wonder about people that only see less than half of the country at a time…. something the Chinese and Russians do all the time. hmmm… strange friends to have at any time?

    Reply

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