US President Joe Biden has signed a USD 280 billion bipartisan bill to boost domestic high-tech manufacturing. A crucial part of his economic agenda, the bill will incentivize investments in the American semiconductor industry and will give a push for US competitiveness over China.

The President has asserted that the chip industry’s future will be made in America. Named CHIPS Act, the legislation sets aside USD 52 billion to bolster the US computer chip sector. This move will reduce US dependence on Taiwan and South Korea for critical technologies.

Last month, the bill was cleared by both chambers of Congress with significant bipartisan margins. After this development, Micron, a leading US chip manufacturer, will announce a USD 40 billion plan to boost domestic production of memory chips. At the same time, Qualcomm and GlobalFoundries are to unveil a USD 4.2 billion expansion of a New York chip plant.

The Biden administration has repeatedly rendered this legislation a critical component in countering Chinese influence and ensuring that the US can maintain a competitive edge against China, particularly in semiconductor manufacturing.

Biden has further said that the CHIPS and Science Act will inspire a new generation of Americans to answer that question: What next? The president has assured us that this will remain a landmark moment in the history of America.