Dingell, Upton Lead Bipartisan Letter Urging House Leadership to Advance Legislation to Address Semiconductor Shortage
Representatives Called for Swift Action to Pass at Least $2 billion for “Mature Node” Chips Used by the Automotive Industry
Washington, October 21, 2021
WASHINGTON, DC - Today, Congresswoman Debbie Dingell (D-MI) and Congressman Fred Upton (R-MI) led 38 bipartisan lawmakers in calling on House Speaker Nancy Pelosi and Minority Leader Kevin McCarthy to immediately set a path for advancing legislation to fully fund the Creating Helpful Incentives for the Production of Semiconductors (CHIPS) for America Act, including $2 billion in support for semiconductor chips used by the automotive industry.
The ongoing shortage in “mature node” semiconductor chips, or “legacy chips,” that are used in today’s vehicles are forcing manufactures to temporarily halt production assembly lines, negatively impacting both suppliers and American workers. If this shortage is further prolonged, more assembly plants will likely face temporary shutdowns or long-term disruptions, and more workers will suffer furloughs or even layoffs. In addition, consumers are experiencing long-delayed delivery orders and dramatic increases in vehicle prices.
“The ongoing semiconductor shortage is hurting the automotive industry, American workers, and our nation’s competitiveness by the hour,” the lawmakers wrote. “While you have already heard from many members on the critical need to address this ongoing supply chain crisis, we are sending this letter to reinforce the dire consequences the automotive industry as a whole—and the nation—faces if we fail to advance legislation soon that would fully fund the CHIPS Act and provide the necessary support for the industry at the same time.”
The lawmakers continued, “As you may know, the CHIPS Act authorization was enacted into law at the end of 2020 as part of the William M. (Mac) Thornberry National Defense Authorization Act (NDAA) but never received appropriations. To address this, in June of 2021, the U.S. Senate advanced the U.S. Innovation and Competition Act, which contained $52 billion to expand domestic semiconductor capacity, including a provision to provide $2 billion specifically for critical “mature node” semiconductor chips used in the automotive industry. To address this crisis head-on and for the long-term, the first and best thing we can do is advance immediate, identical legislation that includes this important appropriation for ‘mature node’ semiconductors.”
House Cosponsors: Debbie Dingell, Fred Upton, Brenda Lawrence, Brian Fitzpatrick, Marcy Kaptur, Peter Meijer, Dan Kildee, Buddy Carter, Kathleen Rice, Mike Kelly, Josh Gottheimer, David Kustoff, Haley Stevens, Carlos Gimenez, Robin Kelly, John Katko, Tim Ryan, David B. McKinley, P.E., Lori Trahan, Bill Johnson, Thomas R. Suozzi, Andre Carson, Grace Meng, Joseph D. Morelle, Conor Lamb, Nikema Williams, Sharice L. Davids, Frank J. Mrvan, Julia Brownley, Steve Cohen, Terri A. Sewell, Sanford D. Bishop, Jr., Elissa Slotkin, Colin Allred, John Yarmuth, Angie Craig, Brian Higgins, Al Lawson, Danny K. Davis, Andy Levin.The full letter is available here.