A bipartisan bill to boost U.S. chip manufacturing and competitiveness with China has cleared a key Senate hurdle and is set to go up for a final vote before July ends.
The legislative package, dubbed "CHIPS-plus," cleared the so-called cloture vote to break the legislative filibuster. CNBC reported Thursday that the vote passed 64-32.
"CHIPS-plus" will provide around $52 billion in funding for U.S. companies making semiconductors and computer chips. It also includes a provision offering a tax credit for investments in domestic chip production.
Additionally, the bill will also provide funding to bolster innovation and the development of other U.S. technologies.
The bill is expected to clear the Senate. After that, it will go before the U.S. House of Representatives. Supporters of the legislation, which is bipartisan, hope that it will be passed in Congress and sent to President Joe Biden's desk before the August recess.
Proponents of the bill believe that it's a vital strategy for bolstering U.S. economic and national security interests. President Biden has called the ongoing global chip shortage, which supporters say the bill can mitigate, a national security issue.
The bill, however, is a stripped-down version of a broader piece of legislation that has been sitting in Congress for months.
"America invented the semiconductor. It's time to bring it home," Biden said at a White House meeting Monday afternoon.