Congress's chip-funding pause raises alarms

Despite bipartisan support in the Senate, a plea by the Commerce Secretary and growing desperation from industry officials, Congress still can’t get a key bill that funds the U.S. chip business over the finish line.

Why it matters: With the global chip shortage continuing to crimp the economy, the semiconductor industry has ramped up pressure for funding of U.S.-based manufacturing facilities as one remedy.

Intel and memory chip maker Micron have both said they will spend $150 billion in the next decade, but have pressed for government help to close the cost gap with some Asian markets…

The intrigue: There could be House Republican opposition to parts of USICA, which garnered Republican support in the Senate.

Rep. Jim Banks (R-Ind.) chairman of the Republican Study Committee, circulated a memo this summer outlining concerns conservatives may have with the bill, including that it might not be strong enough against the Chinese Communist Party.