Photo: JENS SCHLUETER / AFP / Getty Images
This Thursday the amendment led by Schumer-Cornyn was announced , included in the National Defense Authorization Act, NDAA, for the fiscal year 2023 that limits the federal use of semiconductor chips made in China in the defense bill that must be passed.
The purpose of the legislation is to strengthen national security, as well as boost the US chip industry, as well as create domestic manufacturing jobs through the removal of highly dangerous Chinese chips from the US government supply chains.
The historical CHIPS Act and Science will ensure that more semiconductor chips used by the Federal Government are made in the US and this new legislation will help protect Americans from cyber-attacks and reduce dependence on China.
“ We must stand firm against China’s use of core technology to fuel its military expansion and plans for world domination that threaten the security of the United States, and that includes ensuring that the United States government is not spending American taxpayer money through federal contracts on Chinese chip companies that have been deemed Chinese military contractors by the Pentagon,” said the leader of the majority in the Senate, Schumer.
Senator Cornyn noted that “Congress has made great strides to devo to return semiconductor manufacturing to US soil, and it is imperative that we dramatically reduce the use of Chinese chips in US supply chains. This amendment will help ensure that taxpayer dollars are not spent on chips from Chinese military contractors for US government contracts, and we must pass it as part of the defense authorization bill immediately.”
For Senator Wicker it is very important to reduce the United States’ dependence on Chinese chips and boost domestic production because, according to him, it is in the national interest, especially when it comes to our critical security systems “I appreciate the willingness of Leader Schumer and Senator Cornyn to work with me to ensure that the language provide adequate time and protections for impacted industries to transition away from China.”
The Schumer/Cornyn amendment also attempts to mitigate future chip shortages and sends a signal to the private sector that if they want to do business with the US government, have to replace Chinese-made chips in their supply chains, opening up new demand for Chinese-made chips.