The U.S. Senate votes on bills to help it compete with China | Automotive Industry News

China’s parliament expresses “resolute opposition” to the bill, saying it shows the United States has “paranoid disappointment.”

The U.S. Senate voted 68-32 to approve a vast package of legislation aimed at strengthening the country’s ability to compete with Chinese technology.

The measure, last Tuesday, authorized about $ 190 billion for provisions to boost U.S. technology and research – and would separately approve spending $ 54 billion to increase U.S. production and research in semiconductors and telecommunications equipment, including $ 2 billion dedicated to chips used by automakers that have seen massive shortages and made significant production cuts.

The desire for a hard line in relations with China is one of the few bipartisan sentiments in the deeply divided U.S. Congress, which is closely controlled by President Joe Biden’s fellow Democrats.

China’s parliament has declared “strong outrage and resolute opposition” to the bill. In a statement he said the US project showed “a paranoid illusion of wanting to be the only winner” and had distorted the original spirit of innovation and competition.

The bill must pass the House of Representatives to be sent to the White House for Biden to sign into law. It is not clear what the legislation will be in the House or when it could be passed. House leaders have not publicly committed to acting on the Senate bill or have established a course of action beyond the House Science Committee, considering their own plan to renew the Foundation. National Council of Sciences.

Provisions relating to China

The bill has a number of other provisions relating to China, including banning the TikTok social media application from being downloaded onto government devices, and preventing the purchase of drones manufactured and sold by companies supported by the Chinese government. It would also allow Taiwanese diplomats and military to display their flag and wear their uniforms while they were in the US on official business.

It also calls for new mandatory sanctions for Chinese entities engaged in cyber attacks in the United States or intellectual property theft by U.S. companies, and provides for a review of export controls of items that could be used to support human rights abuses. humans.

Senate Majority Leader Chuck Schumer, a sponsor of the measure, has warned of the dire consequences of not funding research to follow China.

“If we do nothing, our days as a dominant superpower may end. We don’t want to let those days end in our care. We don’t want to see America become an average nation in this century,” Schumer said.

Biden praised the project: “We’re in a competition to win the 21st century, and the starting gun is fired … We can’t risk falling behind.”

New investments

U.S. Secretary of Commerce Gina Raimondo said funding could be given from 7 to 10 new U.S. semiconductor plants. Many U.S. companies have praised the project. General Motors Co. said the legislation “represents an important step in addressing the shortage of semiconductors that continues to influence U.S. automobile manufacturing.”

Some critics have compared the Senate’s funding effort to boosting China’s high-tech industrial development, called “Made in China 2025,” which has always irritated the United States.

The project also seeks to counter Beijing’s growing global influence through diplomacy, working with allies and increasing US participation in international organizations following former Republican President Donald’s “America First” agenda. Trump.

Senator Maria Cantwell noted that the bill would authorize the spending of NASA and its Artemis mission to the Moon.

“As China has clearly said, going to Mars, we will return to the Moon to prepare us to go to Mars,” Cantwell said.

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