[Congressional Record Volume 169, Number 120 (Thursday, July 13, 2023)]
[Senate]
[Page S2698]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

  SA 575. Mr. KELLY submitted an amendment intended to be proposed by 
him to the bill S. 2226, to authorize appropriations for fiscal year 
2024 for military activities of the Department of Defense, for military 
construction, and for defense activities of the Department of Energy, 
to prescribe military personnel strengths for such fiscal year, and for 
other purposes; which was ordered to lie on the table; as follows:

       At the end of subtitle G of title X, add the following:

     SEC. 1083. SEMICONDUCTOR SUPPLY CHAIN.

       (a) Short Title.--This section may be cited as the 
     ``Semiconductor Supply Chain Protection Act of 2023''.
       (b) Definitions.--Section 9901 of the William M. (Mac) 
     Thornberry National Defense Authorization Act for Fiscal Year 
     2021 (15 U.S.C. 4651) is amended by adding at the end the 
     following:
       ``(14) The term `ineligible equipment'--
       ``(A) means completed, fully assembled semiconductor 
     manufacturing equipment manufactured or assembled by a 
     foreign entity of concern or a subsidiary of a foreign entity 
     of concern; and
       ``(B) includes--
       ``(i) deposition equipment;
       ``(ii) etching equipment;
       ``(iii) lithography equipment;
       ``(iv) inspection and measuring equipment;
       ``(v) wafer slicing equipment;
       ``(vi) water dicing equipment;
       ``(vii) wire bonders;
       ``(viii) ion implantation equipment; and
       ``(ix) diffusion/oxidation furnaces.''.
       (c) Ineligible Use of Funds.--Section 9902(a) of the 
     William M. (Mac) Thornberry National Defense Authorization 
     Act for Fiscal Year 2021 (15 U.S.C. 4652(a)) is amended by 
     adding at the end the following:
       ``(7) Ineligible use of funds.--
       ``(A) In general.--Subject to subparagraph (B), a covered 
     entity that receives financial assistance under this section 
     may not use any portion of such financial assistance to 
     purchase ineligible equipment.
       ``(B) Waiver.--The Secretary may waive the requirement 
     under subparagraph (A) if--
       ``(i) the ineligible equipment to be purchased by the 
     applicable covered entity is not produced in the United 
     States in sufficient and reasonably available quantities or 
     of a satisfactory quality to support established production 
     capabilities; or
       ``(ii) the Secretary, in consultation with the Director of 
     the National Security Agency and the Secretary of Defense, 
     determines that the purchase of ineligible equipment by the 
     applicable covered entity is in the national security 
     interest of the United States.''.
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