Biden Signs CHIPS Act to Revitalize US Semiconductor Manufacturing
President Biden signs the bipartisan CHIPS and Science Act of 2022, allocating $52.7 billion to boost domestic semiconductor production and research.
President Biden officially signs the CHIPS and Science Act of 2022 into law on the White House South Lawn, marking a major bipartisan victory for domestic technology production. The legislation passes with wide margins in both the Senate and the House after navigating last-minute roadblocks, securing a once-in-a-generation investment in America's industrial capabilities.
The act allocates $52.7 billion specifically for semiconductor research, development, and domestic manufacturing. Of that total, $39 billion serves as incentives for manufacturers, including $2 billion dedicated to producing legacy chips desperately needed by the automotive and defense industries to resolve ongoing supply chain shortages.
Business leaders and politicians alike celebrate the law as a crucial step to reverse the decline of American manufacturing, which currently produces less than 10% of the world's semiconductors. Michigan Governor Gretchen Whitmer simultaneously signs an executive directive to align state efforts with the federal bill, emphasizing the goal of bringing critical supply chains back to the American heartland.