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U.S. Commerce chief to make pitch for chips funding in Michigan -Breaking

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© Reuters. FILE PHOTO – Gina Raimondo (U.S. Commerce Secretary) listens as she answers a question at Reuters’ Department of Commerce interview in Washington, U.S.A. September 23, 2021. REUTERS/Kevin Lamarque/File Photograph

By David Shepardson

WASHINGTON, (Reuters) – U.S. Commerce secretary Gina Raimondo will present Monday in Michigan a pitch for $52 billion to increase U.S. semiconductor production. Congress continues to examine data from other companies on the chip market around the globe.

Raimondo visits a United Auto Workers hall, where he meets with Michigan officials and representatives from General Motors Co. (NYSE:), Ford Motor. (NYSE:), and Chrysler-parent Stellantis for the chips push.

Detroit’s Big Three Automakers, along with other global automakers, have had to decrease production. They also made some cars without digital speedometers or heated seats due to semiconductor shortage.

The Commerce Department sent a September request to information about the chip market to all major automakers and companies. It stated that the information would improve supply chain transparency and gave a deadline of Nov. 8, for responses.

Raimondo stated to reporters that more than 150 companies, including many in Asia, had submitted voluntary data. Raimondo stated that they were pleased by the high volume of responses. We are still reviewing the submissions and these are quite detailed.

Raimondo stated that it would take “several weeks” for the department to offer an assessment. The high-level summary will also be shared, though Raimondo promised to keep confidential company information secure.

She said that it’s too early to know if the department will have to use compulsory measures in order to access additional data. “It’s still possible.”

The Senate and House leaders agreed to negotiate final agreements on a bill that would increase U.S. technological competitiveness with China. Senate approved legislation would authorize $190 million to improve U.S technology and research, as well as $52 billion in semiconductor manufacturing.

Raimondo intends to speak Monday at a Detroit Economic Club event. She will be quoting excerpts that her office has released. China, Taiwan, Europe, and many other countries are moving ahead, while America is still playing catch-up. It is impossible to stay behind.

Raimondo will say that America needs its “partners and allies” to keep a strong global supply network and solve this crisis. That’s why Commerce is pursuing strategies like ‘nearshoring’ and ‘friendshoring,’ so like-minded partners are integrated into our supply chains.”

Samsung Electronics (OTC) announced last week that it has chosen Taylor, Texas to build a $17 billion facility for advanced chips.

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