Senate R&D bill to counter China delayed until June 8

Sen. Ron Johnson, R-Wis., an ally of former President Donald Trump, arrives as senators go to the chamber for votes ahead of the approaching Memorial Day recess, at the Capitol in Washington, Thursday, May 27, 2021. Senate Republicans are ready to deploy the filibuster to block a commission on the Jan. 6 insurrection, shattering chances for a bipartisan probe of the deadly assault on the U.S. Capitol and reviving pressure to do away with the procedural tactic that critics say has lost its purpose. (AP Photo/J. Scott Applewhite)

WASHINGTON, D.C. — A sweeping Senate bill aimed at making the United States more competitive with China and shoring up domestic computer-chip manufacturing with $50 billion in emergency funds was delayed after some Republican senators halted it, insisting on more time to read the contents and make changes.

Votes on the American Innovation and Competition Act were postponed until June 8, when senators are scheduled to return from a scheduled recess.

Advertisements

The emerging final product has enjoyed broad, bipartisan support and would be one of the more comprehensive investments in U.S. research and development in recent years. But the bill became weighted down by the sheer scope of the effort. It swelled to more than 2,400 pages, drawing, sharp opposition from a core group of GOP senators who kept the Senate in a nearly-all-night session.

Senate Majority Leader Chuck Schumer set up the new schedule when it became clear the Republican senators would not relent.

“We have every intention of sticking it out until the job is done,” Schumer, D-N.Y., said as he opened the chamber Friday.

The bill is key to President Joe Biden’s infrastructure plans and is a massive effort to reinvest in innovative technologies as the country tries to bolster and rebuild home-state industries that have shifted overseas during the era of globalization.

A top Republican author, Sen. Todd Young of Indiana, characterized his underlying proposal that anchors the bill — the Endless Frontier Act he co-authored with Schumer — as part of the country’s history of innovation, like the moon landing or the launch of the internet, that Washington needs to foster if America is to remain competitive.

“It’s not about beating China,” Young said in a speech Thursday. He said it’s about rising to the challenge posed by China “to be a better version of ourselves.”

Senators slogged through days of debates and amendments, but proceedings came to a standstill late Thursday. One Republican, Sen. Ron Johnson of Wisconsin, protested the rush to finish, and he and a few other Republican senators overtook the floor proceedings, insisting on more changes to the sprawling package as debate dragged well past midnight.

Biden had included elements of the legislation as part of his big infrastructure plan, the American Jobs Act, making a similar case that the U.S. needs to increase its investments to stay competitive with rivals, particularly China.

During a virtual meeting with CEOs last month over the global computer-chip shortage that has been disrupting supplies and sales of everyday goods — from cellphones to new cars — Biden explained his plan to “build the infrastructure of today.”

Johnson stacked up the bill at his desk bemoaning the towering size, but said the legislative process to bring the bill to this point had been better than most over the past decade. He seized the floor around midnight to push other priorities, including his concerns over another topic — illegal immigration and his interest in secure fencing along the southern border with Mexico.

“We haven’t had time to read this — no one has,” said Sen. Rick Scott, R-Fla., joining Johnson’s protest.

The centerpiece of the bill is a $50 billion emergency allotment to the Commerce Department to stand up semiconductor development and manufacturing through research and development and incentive programs previously authorized by Congress. They focus on the military, automakers and other critical industries reliant on computer chips.

The U.S. once manufactured far more chips than today, which some senators said put the U.S. at risk of fluctuations in the global supply chain, as happened over the past year with shortages.

The Endless Frontier provision would authorize funding for the National Science Foundation, including the establishment of a Directorate for Technology and Innovation, as well as research and development funds and scholarships for students focused on science, technology, engineering and math programs.

Senators have tried to strike a balance in raising awareness about China’s growing influence.

Other measures spell out national security concerns and target money laundering schemes or cyberattacks by entities on behalf of the government of China. There are also “buy America” provisions for infrastructure projects in the U.S.

At the same time, senators agreed to tack on amendments showing shifting attitudes over China’s handling of the COVID-19 outbreak. One would prevent federal funds for the Wuhan Institute of Virology amid fresh investigation into the origins of the virus and possible connections to the lab’s research. The city registered some of the first virus cases.

Schumer and Young struck up a conversation about teaming up on a bill during workouts at the Senate gym, lawmakers said.