DETROIT (WWJ) – Detroit Mayor Mike Duggan will visit the nation's capital on Tuesday as President Joe Biden is set to sign the CHIPS Act.
The mayor's office says Duggan was invited to attend the ceremony for the sign of the Creating Helpful Incentives to Produce Semiconductors Act.
The CHIPS Act will be signed at a time the shortage of semiconductor chips has posed significant challenges for many industries – especially automakers. It goes beyond automotives, though, as they're also used in electronics, medical equipment, high-tech weapons and more.
The act includes $52 billion in funding designed to encourage businesses to manufacture semiconductor chips domestically.
Semiconductor chips are a critical component in today's auto industry, as new-age vehicles feature more and more gadgets and technology. Officials say they're also important for continued research into the field, especially with the rise of EVs.
Michigan Sen. Gary Peters said late last month as the legislation passed the Senate that moving chip production back home is a "smart investment" which will free the United States from being dependent on the global market for critical supplies.
The CHIPS Act also includes an investment tax credit for chip plants, estimated to be worth $24 billion, according to Duggan's office.
