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Protecting Chip Production: Ban on Equipment Purchases from Foreign Entities of Concern.

This law aims to enhance the security of American semiconductor manufacturing. Companies receiving federal grants for chip development cannot use that money to purchase fully assembled production machinery from entities deemed a national security risk. The goal is to promote equipment made in the US or allied countries, protecting critical technology and jobs.
Key points
Companies using federal chip production grants must purchase equipment from suppliers in the US or allied countries.
The ban applies to completed, fully assembled semiconductor manufacturing equipment (e.g., lithography, etching, testing tools).
Waivers are possible only in exceptional cases, such as when the equipment is unavailable in the US or if required for national security interests.
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Additional Information
Print number: 118_S_5002
Sponsor: Sen. Kelly, Mark [D-AZ]
Process start date: 2024-09-10