By David Shepardson

WASHINGTON, (Reuters) – The U.S. House of Representatives is expected to take up a bill that aims at improving competitiveness with China as well as supporting the U.S. chips industry. It includes $52 billion for research and manufacturing subsidies.

House Majority Leader StenyHoyer stated that on Friday, the House will vote on the 2,900 page bill called “America Competes.” He said it would make “further strides in innovation and technology” as well as “make further progresses in advanced manufacturing. Additionally, the bill authorizes $45 million to help support supply-chain resilience as well manufacturing critical goods, equipment and manufacturing technology.

The administration of President Joe Biden is pressing Congress for funding to subsidize chip manufacturing in the United States. This comes as a result of supply chain bottlenecks in America due to shortages in components that are used in computers and autos.

Gina Raimondo, Commerce Secretary, stated Friday that the bill will “create thousands” of jobs across America. To revive American manufacturing, Congress must pass this bill.

Senate approved U.S. The U.S. Innovation and Competition Act was passed by the Senate last year. It includes $52 million to boost U.S. semiconductor production and $190 billion for U.S. research and technology to rival China.

Some differences exist between the House bill and its Senate counterpart. Leaders from each chamber will attempt to negotiate solutions if the House passes it.

The House bill contains a range of trade provisions. Additional sanctions would be imposed on China for rights violations by Uyghurs, and other Muslim minority group groups within the Xinjiang Region. China denied the accusations. This bill will also provide refugee status to qualified people who are from Hong Kong. Beijing is known for its crackdown on democracy activists.

Liu Pengyu is a spokeswoman for the Chinese Embassy. She stated in a statement that China opposed the U.S. making a problem of China, and treating it like an enemy imaginary. The bill, which “gravely interferes with China’s domestic affairs”, is called “Hinder China Compete Act” rather than “The America COMPETESAct”.

House bill also reauthorizes Trade Adjustment Assistance programs and reforms Generalized System of Preferences. This is a preferential tariff for imports.