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Menendez joins New Jersey business leaders to drive swift passage of bipartisan CHIPS law

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Menendez joins New Jersey business leaders to drive swift passage of bipartisan CHIPS law

The CHIPS Act aims to improve supply chain problems that are key to economic recovery and resilience.

Newark New Jersey – U.S. Senator Bob Menendez (DN.J.) today met with representatives of the New Jersey Manufacturing Expansion Program, the New Jersey Chamber of Commerce, and other business leaders to discuss the CHIPS Act and encourage it to pass this week. ..

The law provides $ 52 billion in incentives for US computer chip and semiconductor manufacturing and reduces reliance on foreign manufacturers. Expanding domestic chip production has impacted the economic recovery from the COVID-19 pandemic as chip shortages have affected many industries, including automakers, technology and mobile operators, consumer electronics manufacturers, etc. Helps alleviate chain disruption.

The CHIPS Act also creates a 25% investment tax deduction for investments in semiconductor manufacturing and includes incentives for semiconductor manufacturing and the manufacture of specialized tools and equipment required for the semiconductor manufacturing process.

“Through the CHIPS Act, we will address supply chain vulnerabilities, increase domestic manufacturing capacity and better prepare the country’s economy for 21 century,” Senator Menendez said.. “Making our economy stronger and more resilient here is very important to our security and prosperity, especially when it comes to emerging technologies that increasingly define the 21st century.”

“The supply chain disruption caused by the COVID-19 pandemic has had a profound impact on semiconductor and microchip production around the world. The impact of this shortage is in a variety of US countries, including the manufacture of automobiles and consumer electronics. It has spread to various industries. “ Senator Booker said.. “Through significant federal investment, bipartisan CHIPS legislation will ease current bottlenecks by expanding semiconductor production while boosting America’s competitiveness and our economy.”

“We are pleased that the Senate is advancing the final version of the CHIPS Act to help US manufacturers compete in the global semiconductor market.” Donald M. Payne, Jr. said.. “I helped pass a bill in the US House of Representatives in February called the” America COMPETES Act “to support the country’s semiconductor industry. Chip. These chips are important for creating advanced technology and adjusting products in times of supply chain crisis, as we are experiencing today. I commend Senator Menendez for his work to create a new national supply chain database to avoid such a supply chain catastrophe. I know that the CHIPS Act will help keep US manufacturing strong and avoid transportation and other freight issues in the future. “

“The policies and funding contained in the CHIPS Act will help our country address significant gaps in our supply chain.” Albio Sears said.. “By encouraging domestic chip production, we can prevent future economic recovery and growth turmoil.”

The CHIPS Act contains provisions upheld by Senator Menendez in collaboration with NJMEP to create a national supply chain database. This database provides future supplies by providing manufacturers with important information in deciding how to restructure tools in areas critical to meeting the demand for products such as defense supplies, food and medical devices. Helps prevent chain disruption. The bill has secured $ 131 million to fund the creation of a national supply chain database.

“The worldview of manufacturing and supply chains has changed dramatically over the last few years, certainly putting pressure on us to step up and compete with US manufacturing. The Federal Manufacturing Expansion Partnership is certainly. That role has been fulfilled and NJMEP has helped lead the way. “ John Kennedy, Chief Executive Officer of the New Jersey Manufacturing Expansion Program, said:.. “But without Senator Bob Menendez and further support from his foresight and patience to create and maintain a national supply chain database tool, we would know what we produce and where. Lack of knowledge about what to do puts us in serious trouble. So’. Senator didn’t let it happen and got tired of his efforts. The CHIPS for America Act, which will be voted in the Senate next week. The national supply chain database will be groundbreaking at multiple levels. “

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According to the data from US Census BureauIn 2020, there were 354 offices in New Jersey in the semiconductor sector, classified as computer and electronic product manufacturers (NAICS Code 334 manufactures computers, computer peripherals, communications equipment and other electronic equipment. , And the companies that manufacture these components. Products). Retail sales for this sector in New Jersey were $ 7.6 billion, according to census data available since 2017.

“The CHIPS Act allows US semiconductor manufacturers to maintain their technology leadership while reducing their reliance and vulnerability on foreign suppliers. The 21st century will be driven by the innovation and technology of advanced semiconductor manufacturing and advanced assembly technology. ” Bill Foley, President of American Microsemiconductor, Inc., said:.. “The” CHIPS Act “can reduce America’s reliance on materials and equipment from foreign companies. With these features, you can close the production gap that has been occurring for many years. These gaps increase production and material costs and delay delivery. We’ve all seen it, and no one was affected by these price fluctuations. “

In addition to the CHIPS Act, the Senate is also expected to vote in the near future for another bill that will have a positive impact on the supply chain and approve the construction of improved port deepening channels in Newyork and New Jersey. The Route Improvement Project will extend the route to Elizabeth-Port Jersey Marine Terminal and Port Jersey-Port Jersey Marine Terminal by 5 feet and maintain a depth of 55 feet for safe and efficient passage and cargo volume of large vessels. Should be possible to increase. The project is also expected to create approximately 88,000 full-time jobs.

“The Port Authority has long been working on ports that are efficient and capable of moving record volumes of cargo, which has been seen in recent years, with several capacity building investments by the Port Authority and its container terminal operators in recent years. included.” Beth Rooney, Port Director of Port Authority in NY and NJ, said.. “As global supply chain challenges continue, we welcome the efforts of parliamentary delegations to alleviate supply chain disruptions and strengthen domestic manufacturing to help increase the country’s economic competitiveness.”

“Semiconductor shortages are a major challenge for thousands of companies across New Jersey.” Ray Zardet, Senior Vice President of Communications at the New Jersey Chamber of Commerce, said:.. “But this shortage also provides an opportunity for our state to become a leader in this important industry. New Jersey has a long and rich history of innovation, always visionary leadership and wise investment. The CHIPS Act embodies both. The New Jersey Chamber of Commerce appreciates Senator Menendez for leadership in this initiative and urges Congress to pass the bill as soon as possible. To do.”

“NJBIA supports the passage of the CHIPS Act to promote the growth of domestic computer chip manufacturing.” Michele Siekerka, President and CEO of NJBIA, said:.. “Increased production of these chips, which power and innovate all modern electronics and automobiles, will help ease supply chain challenges and reduce reliance on foreign manufacturers. Here in New Jersey Has played a prestigious historic role in manufacturing and is ready to play an important role in this coveted growth, innovation and expansion. “

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