Federal

Securing Semiconductor Supply Chains Act of 2023

Source: Congress.gov · 1,045 words in original text

What This Bill Does

This bill requires SelectUSA, a program within the Department of Commerce, to work with state economic development organizations to attract foreign investment in semiconductor manufacturing and production. The bill directs SelectUSA to gather input from states about how to increase this type of investment and to report back to Congress on its efforts.

Who It Affects

SelectUSA program leadership and staff in the Department of Commerce. State-level economic development organizations. Congress members on the Committee on Commerce, Science, and Transportation in the Senate and the Committee on Energy and Commerce in the House. Foreign companies considering investments in semiconductor manufacturing in the United States.

Key Provisions

SelectUSA must request feedback from state economic development organizations within 180 days about barriers to foreign semiconductor investment, opportunities to attract such investment, and resource gaps these organizations face. (Sec. 4) SelectUSA must develop recommendations on how to increase foreign semiconductor investment independently or through partnerships with state organizations. (Sec. 4) SelectUSA must work with allied countries to prevent foreign adversaries (meaning countries or entities defined as adversaries under the Secure and Trusted Communications Networks Act) from benefiting from U.S. efforts to increase semiconductor investment. (Sec. 4) SelectUSA must submit a report to Congress within 2 years describing comments received from states, its own activities to increase investment, and strategies it may use to boost semiconductor investment and secure the supply chain. (Sec. 5)

What Changes

SelectUSA will be required to coordinate with state economic development organizations on attracting foreign semiconductor investment. The program must solicit state input and incorporate state recommendations into its strategies and activities.

Important Definitions

SelectUSA means the SelectUSA program of the Department of Commerce established by Executive Order No. 13577. Foreign adversaries are defined by section 8(c)(2) of the Secure and Trusted Communications Networks Act of 2019.

Effective Date

Not specified in bill text

II 118TH CONGRESS 1ST SESSION H. R. 752 IN THE SENATE OF THE UNITED STATES JULY 26, 2023 Received AN ACT To require SelectUSA to coordinate with State-level economic development organizations to increase foreign direct in- vestment in semiconductor-related manufacturing and production. Be it enacted by the Senate and House of Representa- 1 tives of the United States of America in Congress assembled, 2 VerDate Sep 11 2014 22:28 Jan 06, 2025 Jkt 059200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\H752.RDS H752 ssavage on LAPJG3WLY3PROD with BILLS 2 HR 752 RDS SECTION 1. SHORT TITLE. 1 This Act may be cited as the ‘‘Securing Semicon- 2 ductor Supply Chains Act of 2023’’. 3 SEC. 2. SELECTUSA DEFINED. 4 In this Act, the term ‘‘SelectUSA’’ means the 5 SelectUSA program of the Department of Commerce es- 6 tablished by Executive Order No. 13577 (76 Fed. Reg. 7 35,715). 8 SEC. 3. FINDINGS. 9 Congress makes the following findings: 10 (1) Semiconductors underpin the United States 11 and global economies, including manufacturing sec- 12 tors. Semiconductors are also essential to the na- 13 tional security of the United States. 14 (2) A shortage of semiconductors, brought 15 about by the COVID–19 pandemic and other com- 16 plex factors impacting the overall supply chain, has 17 threatened the economic recovery of the United 18 States and industries that employ millions of United 19 States citizens. 20 (3) Addressing current challenges and building 21 resilience against future risks requires ensuring a se- 22 cure and stable supply chain for semiconductors that 23 will support the economic and national security 24 needs of the United States and its allies. 25 VerDate Sep 11 2014 22:28 Jan 06, 2025 Jkt 059200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H752.RDS H752 ssavage on LAPJG3WLY3PROD with BILLS 3 HR 752 RDS (4) The supply chain for semiconductors is 1 complex and global. While the United States plays 2 a leading role in certain segments of the semicon- 3 ductor industry, securing the supply chain requires 4 onshoring, reshoring, or diversifying vulnerable seg- 5 ments, such as for— 6 (A) fabrication; 7 (B) advanced packaging; and 8 (C) materials and equipment used to man- 9 ufacture semiconductor products. 10 (5) The Federal Government can leverage for- 11 eign direct investment and private dollars to grow 12 the domestic manufacturing and production capacity 13 of the United States for vulnerable segments of the 14 semiconductor supply chain. 15 (6) The SelectUSA program of the Department 16 of Commerce, in coordination with other Federal 17 agencies and State-level economic development orga- 18 nizations, is positioned to boost foreign direct invest- 19 ment in domestic manufacturing and to help secure 20 the semiconductor supply chain of the United States. 21 SEC. 4. COORDINATION WITH STATE-LEVEL ECONOMIC DE- 22 VELOPMENT ORGANIZATIONS. 23 Not later than 180 days after the date of the enact- 24 ment of this Act, the Executive Director of SelectUSA 25 VerDate Sep 11 2014 22:28 Jan 06, 2025 Jkt 059200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\H752.RDS H752 ssavage on LAPJG3WLY3PROD with BILLS 4 HR 752 RDS shall solicit comments from State-level economic develop- 1 ment organizations— 2 (1) to review— 3 (A) what efforts the Federal Government 4 can take to support increased foreign direct in- 5 vestment in any segment of semiconductor-re- 6 lated production; 7 (B) what barriers to such investment may 8 exist and how to amplify State efforts to attract 9 such investment; 10 (C) public opportunities those organiza- 11 tions have identified to attract foreign direct in- 12 vestment to help increase investment described 13 in subparagraph (A); 14 (D) resource gaps or other challenges that 15 prevent those organizations from increasing 16 such investment; and 17 (2) to develop recommendations for— 18 (A) how SelectUSA can increase such in- 19 vestment independently or through partnership 20 with those organizations; and 21 (B) working with countries that are allies 22 or partners of the United States to ensure that 23 foreign adversaries (as defined in section 24 8(c)(2) of the Secure and Trusted Communica- 25 VerDate Sep 11 2014 22:28 Jan 06, 2025 Jkt 059200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\H752.RDS H752 ssavage on LAPJG3WLY3PROD with BILLS 5 HR 752 RDS tions Networks Act of 2019 (47 U.S.C. 1 1607(c)(2))) do not benefit from United States 2 efforts to increase such investment. 3 SEC. 5. REPORT ON INCREASING FOREIGN DIRECT INVEST- 4 MENT IN SEMICONDUCTOR-RELATED MANU- 5 FACTURING AND PRODUCTION. 6 Not later than 2 years after the date of the enact- 7 ment of this Act, the Executive Director of SelectUSA, 8 in coordination with the Federal Interagency Investment 9 Working Group established by Executive Order No. 13577 10 (76 Fed. Reg. 35,715; relating to establishment of the 11 SelectUSA Initiative), shall submit to the Committee on 12 Commerce, Science, and Transportation of the Senate and 13 the Committee on Energy and Commerce of the House 14 of Representatives a report that includes— 15 (1) a review of the comments SelectUSA re- 16 ceived from State-level economic development organi- 17 zations under section 4; 18 (2) a description of activities SelectUSA is en- 19 gaged in to increase foreign direct investment in 20 semiconductor-related manufacturing and produc- 21 tion; and 22 (3) an assessment of strategies SelectUSA may 23 implement to achieve an increase in such investment 24 VerDate Sep 11 2014 22:28 Jan 06, 2025 Jkt 059200 PO 00000 Frm 00005 Fmt 6652 Sfmt 6201 E:\BILLS\H752.RDS H752 ssavage on LAPJG3WLY3PROD with BILLS 6 HR 752 RDS and to help secure the United States supply chain 1 for semiconductors, including by— 2 (A) working with other relevant Federal 3 agencies; and 4 (B) working with State-level economic de- 5 velopment organizations and implementing any 6 strategies or recommendations SelectUSA re- 7 ceived from those organizations. 8 SEC. 6. NO ADDITIONAL FUNDS. 9 No additional funds are authorized to be appro- 10 priated for the purpose of carrying out this Act. 11 Passed the House of Representatives July 25, 2023. Attest: KEVIN F. MCCUMBER, Clerk. VerDate Sep 11 2014 22:28 Jan 06, 2025 Jkt 059200 PO 00000 Frm 00006 Fmt 6652 Sfmt 6201 E:\BILLS\H752.RDS H752 ssavage on LAPJG3WLY3PROD with BILLS

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