Harris Criticizes Proposal To Repeal CHIPS Act, Citing Economic Concerns
Senator Kamala Harris (D-CA) has criticized a proposal put forward to repeal the CHIPS Act of 2022, arguing that doing so would have "devastating" consequences for the US economy.
The CHIPS (Creating Helpful Incentives to Produce Semiconductors) Act was passed into law by Congress in August 2022. It provides $52 billion in subsidies and tax credits to companies that manufacture semiconductors in the United States. The goal of the law is to increase domestic production of semiconductors, which are essential components in a wide range of electronic devices.
Senator Harris argued that the CHIPS Act is "critical" to the US economy and that repealing it would be a "mistake." She said that the law is already having a positive impact on the semiconductor industry, and that repealing it would "put those gains at risk."
"The CHIPS Act is a smart investment in our economy and our national security," Harris said. "It will create good-paying jobs, boost American manufacturing, and help us compete with China. I urge my colleagues to reject any effort to repeal this critical legislation."
The proposal to repeal the CHIPS Act has been put forward by some members of the Republican-led House of Representatives. These lawmakers argue that the law is too expensive and that it does not effectively address the issue of semiconductor shortages.
The semiconductor industry has been urging Congress to keep the CHIPS Act in place. The industry argues that the law is helping to create a more competitive environment for semiconductor manufacturing, and that repealing it would damage the long-term prospects of the US semiconductor industry.
The CHIPS Act is a complex and controversial piece of legislation. However, there is no doubt that it is an important issue for the US economy. Congress should carefully consider all the arguments for and against repealing the law before making a decision.