CHIPS Act (H.R. 4346) is deeply flawed
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Elements of the CHIPS Act are inherited from the COMPETES Act and USICA. Ultimately, the CHIPS Act is deeply-flawed, and that is why we have issued a KEY VOTE ahead of the Senate’s vote this week.
It’s a $250 billion package with over $52 billion in financial incentives to the highly profitable semiconductor industry. This spending is sold as being necessary for our national security, but the bill does not bar companies that do business in China from receiving the subsidies.
As the Heritage Foundation lays out, because money is fungible, a semiconductor manufacturer can take a subsidy to build a plant in the United States and use that money to bolster their manufacturing operations in China. There should be unanimous opposition to helping China build its industry and infrastructure, yet this legislation may help companies do just that.
Listen to what The Heritage Foundation President Dr. Kevin Roberts has to say on the matter:
Now is not the time for corporate welfare, especially corporate welfare that benefits the Chinese Communist Party. Lawmakers should be united in opposition to the CHIPS Act. pic.twitter.com/SY5bRPlrG5
— Kevin Roberts (@KevinRobertsTX) July 22, 2022
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