White House to Push Infrastructure Plan in Summit Meeting on Chip Shortage
By Alex Leary
WASHINGTON -- Top Biden administration officials will meet with
senior executives of Ford Motor Co., General Motors Co., Intel
Corp., Alphabet Inc. and others to address the global chip shortage
that has hobbled auto manufacturing and other industries.
The White House wants to use Monday's gathering as a platform
for selling President Biden's $2.3 trillion infrastructure
proposal, which is facing opposition from Republicans and the
business community given that it relies on increasing the corporate
The plan includes $50 billion for the American semiconductor
industry, to help with factory building and research and
National security adviser Jake Sullivan will be among the
participants, reflecting the strategic importance of semiconductors
and longer term concerns about waning U.S. dominance in the
In a statement Friday, Mr. Sullivan said the shortage "creates
critical national security vulnerabilities" and "a perfect example
of an urgent economic and national security priority for the Biden
Also participating will be National Economic Council Director
Brian Deese who said in a statement that the summit "reflects the
urgent need to strengthen critical supply chains and strategically
position the U.S. economy to lead the 21st century." Commerce
Secretary Gina Raimondo will also join the virtual meeting.
GM and Ford are among companies that have had to cut production
for a lack of chips that go into software modules used to control
everything from brakes to air bags.
More than a dozen other companies will join the meeting, with
most expected to be represented by their chief executives or other
senior leaders. They include Samsung Electronics Co., Dell
Technologies Inc., Micron Technology Inc., Northrop Grumman Corp.,
Taiwan Semiconductor Manufacturing Co., AT&T Inc. and Cummins
Support for the semiconductor industry has gained bipartisan
support on Capitol Hill, with lawmakers pointing to fears over
China's heavy spending on chip-making capacity, and Mr. Biden is
seeking to harness that to advance his agenda. But some
conservative groups have faulted the aid, saying chip makers
shouldn't be federally subsidized.
Mike Colias contributed to this article.
Write to Alex Leary at email@example.com
(END) Dow Jones Newswires
April 09, 2021 12:14 ET (16:14 GMT)
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