Chipmakers Will Abandon Plans for US Plants Unless Congress Passes $52 Billion Funding, Warns Raimondo

Commerce Secretary Gina Raimondo testifies before a Senate Appropriations Subcommittee on Capitol Hill in Washington on Feb. 1, 2022. Andrew Harnik/Reuters

U.S. Commerce Department Secretary Gina Raimondo urged lawmakers to quickly approve $52 billion in funding for chipmakers as multiple companies have stalled their expansion plans in the country.

“Mark my words ... if Labor Day comes and goes and this Chips Act isn’t passed by Congress, these companies will not wait and they will expand in other countries,” Raimondo said in an interview with CNBC. The CHIPS Act was passed by Congress in January 2021 but there has yet to be any funding budgeted for it.