China’s Ministry of Commerce said on Friday (29th) that the U.S. chip bill to subsidize the semiconductor industry was passed by the House of Representatives and will be handed over to Biden for signature. The bill will distort the global semiconductor supply chain and disrupt international trade.
According to the content of the Q&A published on the official website of the Ministry of Commerce of China, when asked about the US’s response to China’s use of the Chip Act to enhance its competitiveness in the chip field to compete with China, the Ministry of Commerce of China replied that the Act provides huge subsidies to the domestic chip industry in the United States. Typical differentiated industry support policies.
The Chinese Ministry of Commerce said that some provisions restricting the normal economic and trade and investment activities of relevant companies in China will distort the global semiconductor supply chain and disrupt international trade. The relevant rules conform to the principles of openness, transparency and non-discrimination, and are conducive to maintaining the security and stability of the global industrial chain and supply chain and avoiding fragmentation.
Finally, the Ministry of Commerce stated that China will continue to pay attention to the progress and implementation of the Act, and take effective measures to safeguard its legitimate rights and interests when necessary.
The U.S. House of Representatives yesterday passed a semiconductor subsidy bill containing more than $52 billion and will be signed into law by U.S. President Joe Biden. The House passed the bill, which focuses on domestic semiconductor production and encourages scientific research, by 243 votes in favor to 187 against, and is expected to be signed by Biden soon.
The full name of the bill is the “Chips and Science Act of 2022”, which includes $52.7 billion in semiconductor subsidies and about $200 billion in scientific research funding.