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Senate passes bill to strengthen competitiveness with China

Washington-The Senate passed an overwhelming majority of bills on Tuesday to invest nearly $ 2.5 billion in scientific research and development over the next five years to strengthen its competitiveness against China.

Republicans and Democrats — overcoming traditional party differences in economic policy — have united to support the most important government intervention in industrial policy in decades. Includes federal government investment in technology and the semiconductor industry.

The 68-32 vote reflects a sense of urgency about the need to counter the Chinese and other authoritarian governments. These governments are devoting considerable resources to strengthening their industrial and technological capabilities.

Biased margin of support 2,400 page bill This was the result of a series of political changes by lawmakers upset by the pandemic. The virus-related closure has led to a shortage of important commodities, highlighting the country’s reliance on China, its largest geopolitical enemy. Nineteen Republicans, including Senator Mitch McConnell, a Republican and minority leader in Kentucky, voted in favor of the bill.

Policy makers are moving to boost domestic production capacity The bill was passed hours after the Biden administration Announced new steps Strengthen the American supply chain.

Countries leveraging technologies such as artificial intelligence and quantum computing and “unseen innovations” were Democratic majority leaders and took the lead in the bill, saying they would shape the world with their image. Senator Chuck Schumer, a longtime Chinese hawk, said.

Said the “We the want and do you think the democratic image of the image? Or, Xi Jinping Zemin want and do you think? The authoritarian image, such as you want pressed against the world,” Schumer said .. “Both concede the mantle of global leadership to hostile nations or pave the way for the next generation of American leadership.”

The bill is likely to face more severe headwinds in the House of Representatives. Parliamentary leaders are skeptical of focusing on strengthening emerging technologies. The debate takes place in the Senate, and ultimately the bill’s initial ambition to accept these oppositions is diminished. It has ended.

The bill, centered around the collaboration between Schumer and Indiana Republican Senator Todd Young, will support semiconductor manufacturers by providing $ 52 billion in emergency subsidies with a small limit. Become. This subsidy program will bring the industry to life in the global chip shortage that has spilled over into the global supply chain, closing car factories.

The bill will invest hundreds of billions more into the U.S. scientific R & D pipeline, create grants, facilitate agreements between private sectors and research universities, and facilitate breakthroughs in new technologies. Let’s do it.

“When future generations of Americans look to the new frontier, will they see a red flag on the new frontier that isn’t ours? Young said in a speech on the Senate floor: “Today we clearly answer no.”

“Today we declare our intention to win this century and the people that follow,” he added.

President Biden welcomed the bill’s passage on Tuesday shortly after the Senate approved the bill and added that he hopes to sign the bill “as soon as possible.”

“We are competing to win the 21st century and the starting pistol has disappeared,” he said in a statement. “There is no risk of lagging behind as other countries continue to invest in their own R & D.”

The focus of the law is on strengthening research and development of emerging technologies, but it also includes major trade and foreign policy measures. They would again allow the temporary suspension of tariffs on certain imports and demand sanctions on those responsible for the Biden administration. Forced labor practices And human rights violations around Xinjiang Uygur Autonomous Region in China.

With Schumer exercising his power as a majority leader to pass the bill and lawmakers enthusiastic about including personal priorities in the bill, the package quickly passed the Senate to NASA. Ban on new funding rounds and shark fin sales.

Parliamentarians eager to direct funding to the state’s existing programs $ 100 billion It was planned as a research and development base for new technologies of the National Science Foundation, and was not only a basic research but also a research institute operated by the Ministry of Energy.State-of-the-art research funding $ 29 billion, The remaining original funds were poured into basic research and laboratories.

Members of the House of Commons Scientific Committee have submitted their own legislation that avoids the focus on technology development in support of funding basic research in a range of non-normative areas such as climate change and cybersecurity. It shows the desire to continue in the flow.

“Rather than believing that free research leads to the innovation needed to solve problems in some way, history is that problem solving itself drives innovation, creates new industries, and achieves a competitive advantage. And the chairman of the House Science Committee said, I have written..

Some Democrats in the House de de de laugh at the narrow projects included in the Senate bill to gain broader support. Many of them were added after extensive hearings, such as a round of financing NASA on conditions that are likely to benefit Jeff Bezos’ space venture, but some are mostly or not discussed at all. Not attached to the law. Pentagon research institute funding.

Concerns in the House of Representatives, coupled with the dissatisfaction of some Senate Republicans claiming that legislation was rushing and did not take a strong enough stance towards China, was a compromise that could gain sufficient support in both Houses. It means that it is likely to put together. Difficult. Negotiations on such arrangements are almost certain to encourage more enthusiastic lobbying for one of the few bills that is likely to be enacted this year.

However, Tuesday’s overwhelming majority of votes reflect that commercial and military competition with Beijing has become one of the few issues that can unite both parties.

This consensus, under the guidance of Donald J. Trump, is far to help Republicans abandon their customary skepticism about government intervention in the market and help American companies compete with their major adversaries. Appeared by accepting the role of activist.

Eight Republicans joined Democrats on Tuesday, clearly reflecting how some conservatives have evolved on the issue, a common wage requirement known as Davis Bacon for semiconductor companies. In favor of keeping the law.

“This kind of targeted investment in key industries was unthinkable just a few years ago, but the need for smart industrial policy is now widely accepted,” Florida said. Republican Senator Marco Rubio said. “I hope my colleagues recognize that a strong American workforce is just as important to the future of our country.”

Texas Conservative Republican Senator John Cornyn, who had previously been critical of government funding for industry, said he needed a semiconductor subsidy.

“It is clear that we need to change our view and direction of response to China’s challenges in every aspect, from national security to economic policy,” he said.

Senate passes bill to strengthen competitiveness with China

Source link Senate passes bill to strengthen competitiveness with China

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