Kamala Harris Defends CHIPS Act Amid GOP Repeal Threats

In a recent development, Vice President Kamala Harris has criticized House Speaker Mike Johnson for suggesting that Republicans may try to repeal the CHIPS and Science Act if they win Congress. The CHIPS Act, signed into law in 2022, has unlocked tens of billions of dollars for domestic semiconductor manufacturing, drawing in private capital and enabling the U.S. to produce 30% of the world's most advanced computer chips. The act has already supported 23 projects in 15 states, adding over 115,000 jobs, and is projected to create 50,000 good-paying jobs in Upstate New York alone.


Speaker Johnson's remarks, made at a campaign event for a vulnerable New York GOP congressman, raised concerns about the potential repeal of the bipartisan legislation. Harris, in response, emphasized the importance of the CHIPS Act in bolstering U.S. competitiveness in the global semiconductor market and creating jobs. She criticized Johnson's comments as further evidence of the Republican Party's intention to dismantle popular government programs.

The CHIPS Act has drawn criticism from former President Donald Trump, who has accused Taiwan of stealing "our chip business" and called for tariffs on imported semiconductors. However, the act has been widely supported by both parties, with Democrats and Republicans recognizing the strategic importance of semiconductor manufacturing for economic and national security.


The CHIPS Act's repeal could have significant economic and geopolitical consequences. The U.S. could lose its competitive edge in semiconductor manufacturing, leading to dependence on foreign suppliers, particularly China, which dominates the market. This could result in supply chain disruptions, intellectual property theft, and geopolitical tensions. Moreover, the act has already spurred $30 billion in investments and 115,000 jobs, repealing it could reverse these gains and hinder U.S. economic growth.

The GOP could explore alternative policies to support the U.S. semiconductor industry without repealing the CHIPS Act. One option is to streamline regulations while maintaining the act's core objectives. Another approach is to increase targeted tax incentives for semiconductor manufacturers, encouraging investment in domestic production without the need for direct subsidies. Additionally, the GOP could focus on improving education and workforce development programs to ensure a steady supply of skilled workers for the semiconductor industry. Lastly, the GOP could promote stronger intellectual property protections to safeguard U.S. innovation and competitiveness in the global semiconductor market.

In conclusion, the CHIPS Act has been a crucial piece of legislation in bolstering U.S. competitiveness in the global semiconductor market and creating jobs. The potential repeal of the act, as suggested by House Speaker Mike Johnson, could have significant economic and geopolitical consequences. The GOP should consider alternative policies to support the U.S. semiconductor industry without repealing the CHIPS Act, ensuring the long-term sustainability and competitiveness of the sector.