Protecting Chip Production: Ban on Equipment from Foreign Entities of Concern
This law aims to boost US technological security by restricting the purchase of semiconductor manufacturing equipment. Companies receiving federal grants for chip factory projects are prohibited from buying finished machinery from specific foreign entities deemed a security risk. This supports the domestic supply chain and potentially leads to more secure electronic devices for consumers.
Key points
Federal funds (grants) cannot be used to purchase completed semiconductor manufacturing equipment if it originates from designated foreign entities of concern (FEOC).
The ban lasts 10 years from the funding agreement date and covers critical tools like lithography and etching equipment.
Waivers are possible if the necessary equipment is unavailable in sufficient quantity or quality from the US or allied countries, or if required for national security interests.
Introduced
Citizen Poll