[Senate Report 119-18]
[From the U.S. Government Publishing Office]
Calendar No. 67
119th Congress } { Report
SENATE
1st Session } { 119-18
_______________________________________________________________________
SECURING SEMICONDUCTOR SUPPLY
CHAINS ACT
__________
R E P O R T
of the
COMMITTEE ON COMMERCE, SCIENCE, AND
TRANSPORTATION
on
S. 97
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]
May 6, 2025.--Ordered to be printed
------
U.S. GOVERNMENT PUBLISHING OFFICE
59-010 WASHINGTON : 2025
SENATE COMMITTEE ON COMMERCE, SCIENCE, AND TRANSPORTATION
one hundred nineteenth congress
first session
TED CRUZ, Texas, Chairman
JOHN THUNE, South Dakota MARIA CANTWELL, Washington
ROGER F. WICKER, Mississippi AMY KLOBUCHAR, Minnesota
DEB FISCHER, Nebraska BRIAN SCHATZ, Hawaii
JERRY MORAN, Kansas EDWARD J. MARKEY, Massachusetts
DAN SULLIVAN, Alaska GARY C. PETERS, Michigan
MARSHA BLACKBURN, Tennessee TAMMY BALDWIN, Wisconsin
TODD YOUNG, Indiana TAMMY DUCKWORTH, Illinois
TED BUDD, North Carolina JACKY ROSEN, Nevada
ERIC SCHMITT, Missouri BEN RAY LUJAN, New Mexico
JOHN CURTIS, Utah JOHN W. HICKENLOOPER, Colorado
BERNIE MORENO, Ohio JOHN FETTERMAN, Pennsylvania
TIM SHEEHY, Montana ANDY KIM, New Jersey
SHELLEY MOORE CAPITO, West Virginia LISA BLUNT ROCHESTER, Delaware
CYNTHIA M. LUMMIS, Wyoming
Brad Grantz, Majority Staff Director
Lila Harper Helms, Democratic Staff Director
Calendar No. 67
119th Congress } { Report
SENATE
1st Session } { 119-18
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SECURING SEMICONDUCTOR SUPPLY CHAINS ACT
_______
May 6, 2025.--Ordered to be printed
_______
Mr. Cruz, from the Committee on Commerce, Science, and
Transportation, submitted the following
R E P O R T
[To accompany S. 97]
[Including cost estimate of the Congressional Budget Office]
The Committee on Commerce, Science, and Transportation, to
which was referred the bill (S. 97) to require SelectUSA to
coordinate with State-level economic development organizations
to increase foreign direct investment in semiconductor-related
manufacturing and production, having considered the same,
reports favorably thereon without amendment and recommends that
the bill does pass.
PURPOSE OF THE BILL
This bill would direct the SelectUSA program to coordinate
with State-level economic development organizations to develop
recommendations that increase foreign direct investment in
semiconductor-related manufacturing, production, and supply
chains in the United States.
BACKGROUND AND NEEDS
Semiconductors--also referred to as integrated circuits or
chips--are essential components of numerous goods and services,
such as artificial intelligence, cars, smartphones, computers,
aviation, wireless communication, defense systems, and more. A
worldwide shortage of semiconductors was driven by the COVID-19
pandemic, which exposed vulnerabilities in U.S. supply chains
to acquire and produce these critical chips that support our
economy and national security.
In 2011, the SelectUSA program was established at the
Department of Commerce. SelectUSA is designed to increase job-
creating business investments in the United States. It
encourages foreign businesses, including American businesses
located abroad, to invest in the domestic economy. SelectUSA
also provides market research and counseling services, and
coordinates with State-level economic development
organizations.
SUMMARY OF PROVISIONS
S. 97 would do the following:
Direct SelectUSA to coordinate with State-level
economic development organizations regarding Federal
efforts to increase foreign direct investment in
semiconductor-related manufacturing and production.
Report to Congress on strategies to increase foreign
direct investment in domestic semiconductor-related
manufacturing and production.
LEGISLATIVE HISTORY
S. 97 was introduced on January 15, 2025, by Senator Peters
(for himself and Senators Blackburn and Scott (FL)), and was
referred to the Committee on Commerce, Science, and
Transportation of the Senate. On March 12, 2025, the Committee
met in open Executive Session and, by voice vote, ordered S. 97
reported favorably without amendment.
H.R. 2480, a related House bill, was introduced on March
31, 2025, by Representative Landsman (for himself and
Representative Bentz) and was referred to the Committee on
Energy and Commerce in the House of Representatives. On April
8, 2025, the House Committee on Energy and Commerce ordered
H.R. 2480 to be reported, and that bill passed the House, by
voice vote, under suspension of the rules on April 28, 2025.
118th Congress
S. 229, the Securing Semiconductor Supply Chains Act of
2023, was introduced on February 2, 2023, by Senator Peters
(for himself and Senators Scott (FL) and Blackburn) and was
referred to the Committee on Commerce, Science, and
Transportation of the Senate. Senator Tester was later added as
a cosponsor. On May 10, 2023, the Committee met in Executive
Session and, by voice vote, ordered S. 229 be reported
favorably without amendment. On December 13, 2023, S. 229
passed the Senate without amendment by unanimous consent.
H.R. 752, the House companion to S. 229, was introduced on
February 2, 2023, by Representative Eshoo (for herself and
Representative Pence) and was referred to the Committee on
Energy and Commerce of the House of Representatives. On March
9, 2023, the House Committee on Energy and Commerce ordered
that H.R. 752 be reported, and that bill passed the House, by
voice vote, under suspension of the rules on July 25, 2023.
ESTIMATED COSTS
In accordance with paragraph 11(a) of rule XXVI of the
Standing Rules of the Senate and section 403 of the
Congressional Budget Act of 1974, the Committee provides the
following cost estimate, prepared by the Congressional Budget
Office:
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]
S. 97 would direct the Department of Commerce, through its
SelectUSA program, to solicit comments from state economic
development organizations about how to support foreign direct
investment in semiconductor production. The bill also would
require the department to report to the Congress on strategies
that SelectUSA could implement to increase such investment.
Using information from the department, CBO expects
SelectUSA would need two employees and six contractors for
about two years at an average cost of $210,000 each to carry
out the comment solicitation process and complete the required
report. On that basis, CBO estimates that implementing S. 97
would cost $4 million over the 2025-2030 period; any related
spending would be subject to the availability of appropriated
funds.
The CBO staff contact for this estimate is Margot Berman.
The estimate was reviewed by H. Samuel Papenfuss, Deputy
Director of Budget Analysis.
Phillip L. Swagel,
Director, Congressional Budget Office.
Regulatory Impact Statement
In accordance with paragraph 11(b) of rule XXVI of the
Standing Rules of the Senate, the Committee provides the
following evaluation of the regulatory impact of the
legislation, as reported:
number of persons covered
S. 97, as reported, would not create any new programs or
impose any new regulatory requirements and, therefore, would
not subject any individuals or businesses to new regulations.
economic impact
S. 97, as reported, is not expected to have a negative
impact on the Nation's economy.
privacy
S. 97, as reported, would have no impact on the personal
privacy of individuals.
paperwork
The Committee does not anticipate a major increase in
paperwork burdens resulting from the passage of this
legislation. S. 97, as reported, would require one report from
the Federal Government. The report would be required no later
than 2 years after the date of enactment from the Executive
Director of SelectUSA, in coordination with the Federal
Interagency Investment Working Group, to the appropriate
committees of Congress. The legislation would not increase
paperwork requirements for private individuals or businesses.
CONGRESSIONALLY DIRECTED SPENDING
In compliance with paragraph 4(b) of rule XLIV of the
Standing Rules of the Senate, the Committee provides that no
provisions contained in the bill, as reported, meet the
definition of congressionally directed spending items under the
rule.
SECTION-BY-SECTION ANALYSIS
Section 1. Short title.
This section would provide that the bill may be cited as
the ``Securing Semiconductor Supply Chains Act''.
Section 2. SelectUSA defined.
This section would define the term ``SelectUSA'' to mean
the SelectUSA program of the Department of Commerce established
by Executive Order 13577.\1\
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\1\Executive Order 13577 of June 15, 2011, ``Establishment of the
SelectUSA Initiative,'' Federal Register, vol. 76 (June 20, 2011), no.
118, p. 35715 (https://www.govinfo.gov/content/pkg/FR-2011-06-20/pdf/
2011-15443.pdf).
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Section 3. Findings.
This section would list congressional findings related to
the importance of semiconductor supply chains; note the
importance of semiconductors to the U.S. economy and the
economic recovery; identify sectors that can benefit from
further investment, such as advanced manufacturing, packaging,
and materials and equipment; and highlight opportunities for
foreign direct investment to support the growth of domestic
manufacturing.
Section 4. Coordination with State-level economic development
organizations.
This section would require SelectUSA, no later than 180
days after enactment of the Act, to solicit comments from
State-level economic development organizations for a review of
the Federal Government's efforts to increase foreign direct
investment in domestic semiconductor-related production. This
solicitation would help SelectUSA develop recommendations for
boosting foreign direct investment in domestic semiconductor-
related production and attracting investment from independent
sources or partnerships. It would also help SelectUSA develop
recommendations for working with U.S. allies or partners--
including leaders in semiconductor manufacturing, such as the
Netherlands or South Korea--to increase foreign direct
investment in the United States without advantaging our foreign
adversaries.
Foreign adversaries would have the same meaning as in
section 8(c)(2) of the Secure and Trusted Communications
Networks Act of 2019.\2\
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\2\47 U.S.C. 1607 (c)(2); Public Law 116-124.
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Section 5. Report on increasing foreign direct investment in
semiconductor-related manufacturing and production.
This section would direct SelectUSA, no later than 2 years
after the date of enactment, to coordinate with the Federal
Interagency Investment Working Group (established by Executive
Order 13577)\3\ to submit a report on semiconductor supply
chains to the Committee on Commerce, Science, and
Transportation of the Senate and the Committee on Energy and
Commerce of the House of Representatives.
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\3\Supra note at 1.
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This report would include a review of the comments received
by SelectUSA and a description of activities to increase
foreign direct investment in semiconducting-related
manufacturing and production. It would also assess strategies
that SelectUSA may implement to increase accompanying
investments in U.S. semiconductor supply chains.
Section 6. No additional funds.
This section would specify that no additional funds are
authorized to be appropriated for the purpose of carrying out
this Act, and that SelectUSA can only carry out this Act using
amounts otherwise available.
CHANGES IN EXISTING LAW
In compliance with paragraph 12 of rule XXVI of the
Standing Rules of the Senate, the Committee states that the
bill as reported would make no change to existing law.
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