On Tuesday morning, President Biden rambled through statements before signing a $280 billion measure to promote local semiconductor chip manufacturing and compete with China.
In between phlegmy coughs, the president, 79, who finally tested negative for Covid-19 on Saturday after a comeback infection, praised the law as a national security and job-creation initiative. ‘It’s no surprise that the Chinese Communist Party vigorously pushed against this,’ he added. Following the address, the White House press office said that Biden had tested negative on Tuesday morning and on Monday.
Biden tested positive for COVID for the first time on July 21. He received anti-viral medication with Paxlovid and tested negative on July 27. He was subsequently masked and returned to the West Wing, but suffered a setback on July 30, with another positive test result.
‘We are at a crossroads in our country and throughout the globe,’ Biden said outside the White House. ‘Fundamental changes are occurring now, politically, economically, and technologically, changes that may either increase or damage our feeling of control and security, of dignity and pride in our life and our country.’
On stage with Biden were House Speaker Nancy Pelosi, who wrangled all of her members to vote for the measure, and Senate Majority Leader Chuck Schumer, who carried the package through the Senate. A number of MPs from both parties, Cabinet secretaries, and officials from the electric car and technology industries were observed in the throng.
After his speech, Schumer moved down the line, shaking hands with those on stage. He shook hands with the president before moving on to others, and then Biden extended his hand again, prompting Republicans on Twitter to wonder whether the president ‘forgot’ Schumer had previously met him.
Biden hailed Republicans who worked on the measure, including Sens. Todd Young of Indiana and Rob Portman of Ohio, who both rushed around the president as he signed it, before apologizing for putting them “in trouble.”
‘Vice President Harris, second gentlemen, Cabinet officials, White House team members, members of both parties of the United States Congress, Majority Leader, Senators Cantwell, Young, and Portman, I don’t want to get you in trouble, but you did a fantastic job.’ That’s another tale.
It only takes about 5 seconds for Joe Biden to forget that he shook Chuck Schumer’s hand.
It’s terrifying. pic.twitter.com/c4dNRRaDVO
August 9, 2022 — Steve Guest (@SteveGuest)
‘I’m sorry if I cost you anything.’ Thank you very much. Thank you very much. And, of course, Senators Cornyn and Wicker, who helped put this measure on track from start to finish in the House.’
In late July, the measure was approved by both the House and the Senate.
The proposal includes $52 billion in financing for American businesses to manufacture computer chips, as well as a 25% tax credit for firms that invest in the industry. It contains $39 billion for chip manufacturing businesses to grow and update their capabilities, as well as $11 billion for the Commerce Department’s R&D. Another $81 billion is allocated to the National Science Foundation.
‘America developed the semiconductor, but now produces just about 10% of the world’s supply—and none of the most sophisticated chips,’ according to a fact sheet on the bill released by the White House. ‘Instead, we depend on East Asia for 75% of world output.’
The United States depends significantly on Taiwan for its semiconductor supply, which is under danger from China’s growing incursion on the island democracy. ‘Fifty, seventy-five, or one hundred years from today. People will look back on this week and realize that we arrived at this point today. ‘The measure I’m signing into law, the chips and science, are once-in-a-generation investments in America,’ Biden said in his comments.
Minority Leader Mitch McConnell, R-Ky., and members of his leadership team, including GOP Policy Committee chairman Sen. Roy Blunt, R-Mo., and Sens. John Cornyn, R-Texas, and Rob Portman, R-Ohio, had all voted in favor of the plan.
However, just after the Senate vote, Sen. Joe Manchin stated that he and Majority Leader Chuck Schumer had struck an agreement on a $739 billion reconciliation spending plan, the Inflation Reduction Act – a new version of the Build Back Better bill that Republicans had unanimously opposed. In response to Manchin’s remarks, House GOP leadership whipped against the budget plan. Nonetheless, 24 Republicans sided with Democrats to approve the bill.
The bill’s critics, notably Senator Bernie Sanders, who voted nay, saw the sector tax benefits as an undue subsidy for major internet businesses. Speaker Nancy Pelosi, on the other hand, was able to maintain the House Progressive Caucus unified in favor of the plan.
Following the bill’s passage, the White House announced that Micron would invest $40 billion in memory chip manufacturing, which is used in computers and other electronic devices, and Qualcomm and GlobalFoundries announced a $4.2 billion partnership to expand microchip facilities in upstate New York.