Biden signs $280 billion CHIPS act in bid to boost US over China

President Joe Biden speaks before signing the "CHIPS and Science Act of 2022" during a ceremony on the South Lawn of the White House, Tuesday, Aug. 9, 2022, in Washington. (AP Photo/Evan Vucci)

WASHINGTON (AP) - President Joe Biden on Tuesday signed a $280 billion bipartisan bill to boost domestic high-tech manufacturing, part of his administration's push to boost U.S. competitiveness over China.

Flanked by scores of lawmakers, union officials, local politicians and business leaders, Biden feted the legislation, a core part of his economic agenda that will incentivize investments in the American semiconductor industry in an effort to ease U.S. reliance on overseas supply chains for critical, cutting-edge goods.

"The future of the chip industry is going to be made in America," Biden said in a sweltering Rose Garden ceremony Tuesday, referring to the diminutive devices that power everything from smartphones to computers to automobiles. The legislation sets aside $52 billion specifically to bolster the U.S. computer chip sector.

The bill has been more than a year in the making, but finally cleared both chambers of Congress late last month with significant bipartisan margins.