Biden signs order to spur domestic production of semiconductor chips

Aug. 25 (UPI) -- President Joe Biden signed an executive order on Thursday to activate domestic semiconductor production as part of the CHIPS and Science Act, which aims to bolster supply chains by weaning off reliance on foreign-made chips.

The bill passed both houses of Congress earlier this month and Biden signed it into law on Aug. 9.

Thursday's order implements funding and marks the launch of the CHIPS.gov website, which offers public information about the law's priorities and activities.

The White House said the order and the new law will "help rebuild our supply chains, manufacturing, and infrastructure here at home."

A new semiconductor implementation steering council will coordinate implementation and includes a number of top Cabinet officials and economic advisers.

The order identifies six priorities -- protecting taxpayer dollars, meeting economic and national security needs, ensuring long-term leadership, strengthening regional manufacturing, catalyzing private investments and offering benefits to communities.

As Congress considered the bill, Biden stressed how important semiconductor manufacturing is to national and economic security. The law provides $52 billion in subsidies to U.S. semiconductor manufacturers.

Overall the CHIPS Act provides $280 billion to fund "the entire semiconductor supply chain." Biden said it will create 1 million construction jobs over five years.