Joe Biden signs bill to help US semiconductor producers compete with China

United States President Joe Biden signed a bill on Tuesday that will be a huge boost to domestic chip manufacturing companies. The CHIPS and Science Act will make sure that around $200 billion is invested into the manufacturing of semiconductors over the next five years. The motive behind this initiative is to regain the top spot in the industry from China and to make the US less reliant on other countries — something that happened due to the damage caused by the COVID-19 pandemic.

"Today America is delivering, delivering, and I honest to God believe that 50, 75, 100 years from now from people who will look back on this week, they'll know that we met this moment," Biden said.

According to CNN, the event was attended by executives from HP and Intel, both Republican and Democratic politicians, House Speaker Nancy Pelosi and Secretary of Commerce Gina Raimondo.

Thanks to the bill, the White House said that a number of companies has already agreed to invest an additional $50 billion into the American semiconductor manufacturing sector.

"Micron is announcing a $40 billion investment in memory chip manufacturing, critical for computers and electronic devices, which will create up to 40,000 new jobs" in construction and manufacturing. This investment alone will bring the US market share of memory chip production from 2 per cent to 10 per cent," the White House said in an official statement on Tuesday.

This was one of Biden’s first appearances since recovering from two bouts of COVID-19 which forced him to stay in isolation for a considerable amount of time.

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