Friday, June 21, 2024
NewsPOTUS Seeking $37 Billion To Increase Microchip Manufacturing In The US

POTUS Seeking $37 Billion To Increase Microchip Manufacturing In The US

The intention behind the bill is to solidify the country’s supply chain and this will help automakers


  • Global chip shortage has forced a number of assembly plants to idle production.

  • US firms account for 47% of global chip sales but the US produces only 12% of them.


The global microchip shortage has been a massive thorn in automakers’ sides. The lack of components has forced many car companies to slow or worse, idle assembly lines while they wait for supplies to arrive. President Biden is seeking $37 billion to help increase microchip production, but not only for automakers.

The order will focus on areas of defense, public health, communications technology, transportation, energy, and food production. As far as car companies are concerned, they applaud Biden’s decision to do more to protect American supply chains.

Microchip Shortage Is Not Done Affecting The Auto Industry

Automotive News (subscription required) reports that Ford said in a statement that it was “incredibly important for our labor force, our customers and our business that we have a commitment to end this shortage as soon as possible.”

Biden’s order will look into ways to differentiate the country’s supply chain dependence for certain products. The idea will be to develop and invest in domestic production and partnering with other countries in Asia and Latin America in the event that the US cannot produce their own products.

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Matt St-Pierre
Matt St-Pierre
Trained as an Automotive Technician, Matt has two decades of automotive journalism under his belt. He’s done TV, radio, print and this thing called the internet. He’s an avid collector of many 4-wheeled things, all of them under 1,500 kg, holds a recently expired racing license and is a father of two. Life is beautiful. Send Matt an emai

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