The US has taken action against the long-standing semiconductor chip crisis. The country, which is trying to increase technological competition against China, has $ 52 billion in semiconductors. 280 billion dollars sectoral support. Request USA Chips and Science law What you need to know about
US bans production in China with chip law
US President Joe Bidenhas finally signed the CHIPS and Science Act. Within the scope of the law passed in the Senate last week, it is aimed both to find a solution to the chip crisis and to increase competition against countries such as China and Taiwan.
President Biden has announced that they want to encourage investment in the American semiconductor industry. Under the new law, subsidies will be given to “companies producing in the USA only”. $52 billion has been allocated to companies to encourage them to build semiconductor manufacturing plants or factories.
The USA will solve the chip crisis! But there is one condition
US chip law approved. Thus, companies receiving chip subsidies from the USA were banned from building new factories in China.
To increase domestic memory and chip production to Micron 40 billion dollars, Qualcomm and to GlobalFoundries 4.2 billion dollars will be provided. But companies that want to receive subsidies under the new law must stop production in countries that pose a national security threat. These countries include China, Iran, North Korea and Russia.
In his statement on the subject, President Biden said, “We will invest in America. We will make it in America. “We will win the economic competition of the 21st century in America,” he said.
It is currently unknown which manufacturers will benefit from the subsidy, but many companies that manufacture in the US also have factories in China. for example Intelwanted to buy a factory in China, but canceled this decision after pressure from the Ministry of Commerce.
So what do you think about the US chip law? You can share your views with us in the comments section.