Legislation proposed to boost semiconductor manufacturing

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Alex McLenon

A semiconductor manufacturing bill in Washington offers more than $50 billion in government incentives to bolster microchip production. With Republicans warming to the legislation and the Biden administration pushing for its approval, the bill could be signed into law before Congress enters a month-long recess in August.

The United States and other countries have seen a shortage of semiconductors curb production of things like cars and electronics, driving up costs and inflation.

“Since 1990, when we were making 37% of America’s semiconductors here in the United States, that number has dropped to 12%.” — John Neuffer, Semiconductor Industry Association

John Neuffer is president and CEO of the Semiconductor Industry Association. He says that while the United States was once a leader in microchip manufacturing, other countries began investing in the region decades ago.

“As a result,” Neuffer explains, “from 1990, when we made 37 percent of America’s semiconductors here in the United States, that number dropped to 12 percent.

Neuffer says the proposed legislation aims to address this shortcoming in two ways.

“One is in the form of $10 billion in grants,” Neuffer explains, “and then also in the form of an investment tax credit.”

Beyond bolstering the country’s microchip manufacturing, Neuffer says, if passed into law, the bill could create hundreds of thousands of jobs.


Listen: John Neuffer discusses the bill to boost semiconductor manufacturing.



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  • Alex McLenon is a reporter with 101.9 WDET. McLenon is a graduate of Wayne State University, where he studied Media Arts and Broadcast Production and Journalism.

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