Peters, US Senate Looking at Microchip Shortage in Legislation

WASHINGTON (WHTC-AM/FM) – The global microchip shortage looks like it could keep affecting production well into 2022, and Capitol Hill wants to do something about it.

A top executive with laptop maker Acer claims his company can only meet 50 percent of worldwide demand, as the shortage was triggered by the COVID 19 outbreak when there was a run on electronics, coupled with drawbacks in production. In the US Senate, the American Innovation and Competition Act would, according to second-term suburban Detroit Democrat Gary Peters, increase domestic production of mature semiconductor technologies.

“Most, if not all of the manufacturing of semiconductors is done overseas,” he said on “WHTC Morning News” in a recent appearance. “Now we have a shortage that is impacting auto companies in a significant way … and that is simply unacceptable, so we need to work on making sure incentives are in place to make sure they are made in the United States with American workers.”

The legislation would also reactivate the Manufacturing Advisory Council and create a website that would help connect manufacturers with related federal programs.