have also indicated they could go “bigger and
faster” with federal help.
One of the biggest lashpoints is the $8 billion
in the legislation to help developing countries
reduce their emissions and cope with climate
change. Former President Barack Obama
pledged $3 billion toward the fund, but former
President Donald Trump withheld $2 billion
of that.
Rep. Michael McCaul, the ranking Republican
on the House Foreign Afairs Committee, called
it an “unaccountable UN slush fund” that has
already provided at least $100 million to China.
Meanwhile, America’s share of semiconductor
manufacturing globally has steadily eroded
from 37% in 1990 to about 12% now. The Biden
administration and lawmakers are trying to
reverse that trend, which industry oicials
say is driven by foreign competitors receiving
signiicant government subsidies.
The pandemic has strained the supply chain
for the chips. The Commerce Department
issued a report last week that found the median
inventory of some semiconductor products
had fallen from 40 days in 2019 to less than ive
days in 2021. The report also said stakeholders
don’t see the problem going away in the
next six months. The administration cited the
indings in calling for Congress to act.
Tensions with China are relected in much
the legislation. In a nod to concerns about
the origins of COVID-19, the bill directs the
president to submit a report to Congress on
the most likely origin of the virus, the level
of conidence in that assessment and the
challenges of making such as assessment.