Top official blasts Trump's semiconductor policy shift proposal at defense forum
Commerce chief strongly opposes replacing chip-maker grants with high import fees. Such change might affect US tech independence and military readiness according to defense forum discussion
At last years Reagan National Defense Forum (a high-level meet-up of defense experts military chiefs and lawmakers) Gina Raimondo made some sharp comments about future chip-making plans
Implementing high tariffs on semiconductor imports instead of federal grants is a horrific idea
The Commerce chiefs response came after Donald Trumps suggestion to switch-up how America supports its chip industry. Instead of giving money to local producers Trump wants to put fees on foreign-made chips
The current system which gives billions in support to US-based semiconductor makers is seen as key for keeping tech production in-country. This approach helps with:
- Military equipment needs
- Economic self-reliance
- Supply chain control
- Tech independence
Raimondo pointed out that depending on outside chip sources puts Americas security at risk - both for the armed forces and the wider economy (which needs these tiny electronic parts for almost everything)
