Texas Republicans and Democrats push to make state center of global semiconductor industry

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Green microchip set in a blue printed circuit board
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Texas Republicans and Democrats push to make state center of global semiconductor industry

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A bipartisan group of Texans is pushing for the state to become the central hub for the global semiconductor industry.

Sen. Ted Cruz (R-TX) and his 2024 Democratic opponent, Rep. Colin Allred (D-TX), were both leading proponents of adding language to this year’s National Defense Authorization Act which would help streamline environmental review requirements in new investments in the state’s semiconductor industry, the Texas Tribune reported, a move which many believe would greatly increase competitiveness and encourage further investment. Backers hope that reforms to the state’s industry would expand an industry that has seen increased attention in recent years, as countries around the world race to stay ahead of rivals.

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“This language will help Texas, already the nation’s leading chip producer, continue to grow this burgeoning industry and bring more jobs to the Lone Star State while boosting America’s economic and national security,” Cruz said in a statement.

The Building Chips in America Act would exempt certain projects funded by last year’s CHIPS and Science Act from environmental review under the National Environmental Policy Act. For the remainder, it would put the Commerce Department in charge of environmental review, eschewing the need for duplicate studies from other federal agencies.

“This bipartisan bill is a common-sense change that will ensure that the CHIPS Act delivers on its promise and these critical projects can get approved,” Allred said in a statement.

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As tensions with China escalate, there has been an increasing worry in Congress that the United States could fall behind in certain sectors of the tech industry. Semiconductors have taken center stage, as the component crucial in most technology today is largely dominated by China, Taiwan, and South Korea. Texan congressmen are among the most prominent advocates to change that.

Last year’s CHIPS and Science Act, which heavily promoted the semiconductor industry in the U.S., was introduced and promoted in part by Sen. John Cornyn (R-TX). Though most Texas Republicans ultimately voted against the act over fears it would foster corruption, they have gone on to promote the industry in other ways.

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