WASHINGTON— In response to last week’s announcement that Senators Mark R. Warner (D-VA), Vice Chairman of the Senate Select Committee on Intelligence, and John Cornyn (R-TX) introduced the “Creating Helpful Incentives to Produce Semiconductors (CHIPS) for America Act,” which would “restore semiconductor manufacturing back to American soil,” ITIF President Robert Atkinson issued the following statement:
A strong and competitive U.S. semiconductor industry is vital not only to U.S. national security but to overall U.S. advanced technology competitiveness and the jobs that come with that. Yet other nations, particularly China, have set their sight on winning the global competition in this industry.
Absent robust U.S. production incentives and support for research and development, this U.S. industry could very well go in the direction of the telecom equipment industry, where as recently as two decades ago America was the world leader.
That is why the "CHIPS for America Act" is so important. It would get and keep America back in the game and help ensure a healthy semiconductor industry for decades to come.
For more analysis of this issue, see:
- Stephen Ezell, “Best Practices to Support Semiconductor Sector Innovation” (ITIF, October 2017).