The Biden administration is working to complete CHIPS and Science Act agreements with multiple companies like Intel and Samsung. The administration hopes to finish up the initiative before President-elect Donald Trump returns to the White House.
The act, which stands for creating helpful incentives to produce semiconductors, provides incentives for chipmakers to set up manufacturing in the United States.
The chips are an important component for several products including electronics, vehicles, medical devices and defense systems.
Many in the tech industry are worried Trump’s reelection will have an impact on the revitalization of the semiconductor industry. However, some chips experts say Trump likely won’t roll back the act, despite the negative things he’s said about it.
“That chip deal is so bad,” Trump said on an episode of “The Joe Rogan Experience.” “We put up billions of dollars for rich companies to come in and borrow the money and build chip companies here.”
Both Democrats and Republicans supported Biden’s chips efforts in the U.S., so experts in the field say because of that support, it’s likely the policy would remain regardless of Trump being elected.
The Biden administration signed the bipartisan bill in 2022 committing $53 billion to boost U.S. competitiveness with China.
More than 20 companies are still in the process of negotiating, while others have wrapped up the contract process.
Chipmakers say they’re hoping to avoid renegotiating terms with a new administration.
The Trump campaign hasn’t commented on the CHIPS act since the election.
