The nine governors called on Congress to pass a $52 billion “chip bill” as soon as possible, of which $2 billion will be used to subsidize semiconductor factories to produce mature chips that are severely in short supply in the automotive industry.
In addition to Michigan Governor Whitmer, the Republican Governor of Alabama, Kay E. Ivey, who is also a major automobile manufacturing town, also joined the letter.
The nine governors said that the shortage of automotive chips has caused automakers to reduce production by 2.2 million vehicles, affecting the livelihoods of 575,000 employees.
Whitmer issued a statement stating that: “The global automotive chip shortage has hit Michigan and other states, leading to idle factories and slower production, jeopardizing thousands of related jobs in the upstream and downstream industrial chains of the automotive manufacturing industry. Signs of suspension, if we want to protect employment and maintain competitive advantage, we obviously cannot waste time.”
The nine governors wrote in the letter: “We understand that the House of Representatives has priority considerations in USICA’s policies and plans. We hope that the Senate and the House of Representatives can find consensus on this legislation as soon as possible.”
The governors who joined the letter link include Illinois, Wisconsin, North Carolina, Kentucky, Pennsylvania, Kansas and California.