This bill, the Chip EQUIP Act, would bar the purchase, installation, or use of certain finished semiconductor manufacturing equipment made or refurbished by a "foreign entity of concern" or its subsidiaries for projects funded under specified federal programs. The bill adds a definition for "completed, fully assembled" equipment and lists types of equipment treated as "ineligible semiconductor manufacturing equipment," including deposition, etching, lithography, inspection and test tools, wafer slicing and dicing, wire bonders, ion implanters, chemical mechanical polishers, furnaces, thermal processors, and automated material handling systems. Agreements for covered federal financial assistance must include these prohibitions for 10 years from the date the agreement is signed.
The bill allows three narrow waivers: (1) if adequate equipment of sufficient quantity or quality is not available from the United States or allied/partner countries; (2) if the equipment was originally manufactured or assembled by an entity that is not a foreign entity of concern but was later refurbished by a foreign entity of concern; or (3) if the use meets the Export Administration Regulations and the Secretary, after consulting the Director of National Intelligence or the Secretary of Defense, determines the waiver is in the national security interest. The bill also states that nothing in the waiver provision may be read to waive the application of section 9907. The term "foreign entity of concern" is used in the bill text but not defined in the provided material.
No publicly available information on costs or budgetary effects is included in the provided bill text or metadata.
No publicly available information in the provided text or metadata about proponents' stated views or reasons for supporting the bill.
No publicly available information in the provided text or metadata about opponents' stated views or reasons for opposing the bill.