Representatives Blake Moore and Anna G. Eshoo Introduce Bipartisan Bill to Bring Electronics Manufacturing to America and Strengthen Supply Chains

May 10, 2022

Representatives Blake Moore and Anna G. Eshoo Introduce Bipartisan Bill to Bring Electronics Manufacturing to America and Strengthen Supply Chains

May 6, 2022Press Release

WASHINGTON – Today, Reps. Blake Moore (R-UT) and Anna G. Eshoo(D-CA) announced bipartisan legislation to bolster domestic printed circuit board (PCB) production and strengthen supply chain security. The Supporting American Printed Circuit Boards Actwill complement semiconductor incentives by encouraging domestic PCB manufacturing and R&D to reduce supply chain disruptions, address national security concerns related to foreign PCB production, and further enhance America’s economic leadership

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“I have been encouraged by Congress’s consistent efforts to strengthen our microchips industrial base, as they are increasingly critical to our everyday technology,” said Rep. Blake Moore. “However, they are only part of an extensive microelectronics infrastructure. As we work to reshore our manufacturing, strengthen our supply chains, and prioritize national security, we are confronted by the immediate need to rebuild and bolster our entire microelectronics ecosystem. The Supporting American Printed Circuit Boards Act will help usher in a new era of American manufacturing. This bill will not only maintain the integrity of military and national security commercial materials, but it will also fuel the resurgence of American manufacturing through incentivizing the purchase and production of domestically-sourced printed circuit boards. I look forward to collaborating with Congresswoman Eshoo on this bipartisan effort as we work to keep our supply chains and electronic systems secure.”

“The supply chain shortages for electronics are affecting every aspect of American life,” said Rep. Eshoo. “Printed circuit board (PCBs) are a critical part of that supply chain and are at risk of tampering vulnerabilities related to offshore production, yet the U.S. global production share of PCBs is only approximately four percent, compared to China’s 52 percent. If we want to ensure technological superiority across the global stage and strengthen national security, we need to bring PCB production back to America, which is exactly what my bipartisan bill does.”

“The bipartisan Supporting American Printed Circuit Boards Act addresses vulnerabilities in a key segment of the electronics manufacturing value chain, and in so doing, it promotes a ‘silicon-to-systems’ approach that prioritizes innovation, resiliency, and innovation across the electronics industry. We thank Reps. Eshoo and Moore for their leadership in helping to rebuild U.S. electronics manufacturing, and we call on all Members of Congress to support this bill,” said John Mitchell, President & CEO of IPC.

“Printed Circuit Boards are the high-tech foundation that makes modern life possible, but over the last two decades, PCB production has moved away from the United States at an alarming rate, as overseas costs were driven down by foreign investments. Without robust and secure domestic supply chains, U.S. production of critical microelectronics is not sustainable. This bill from Representatives Eshoo and Moore is a win-win for American workers and consumers, and our national and economic security. The Supporting American Printed Circuit Boards Act of 2022 is a critical step towards rebuilding our nation’s PCB manufacturing capacity,” said Travis Kelly, Chairman of the Printed Circuit board Association of America (PCBAA) & CEO of Isola-Group.

“Bringing back printed circuit board (PCB) manufacturing to the U.S. is critically important to our economy, national security, and the integrity of our high-tech supply chain. PCBs are essential to high-end technology products from electric cars to cell phones. For higher end uses, PCBs are every bit as sophisticated, and important, as the semiconductors connected to them. Over the last two decades, 80% of printed circuit board manufacturing has moved offshore, mainly to Asia. The Supporting American Printed Circuit Boards Act of 2022 will help restore this important manufacturing base to the U.S., secure our supply chain, and create new, high-quality jobs. At a time of international tension, uncertainty, and risk, this bill is perfectly timed, and we applaud Rep. Eshoo for her leadership in introducing it,” said Jure Sola, Chairman, CEO and Cofounder, Sanmina Corp.

Background

PCBs are the material on which semiconductors sit (often the green-colored surface in images of chips) and are a critical part of the supply chain. A recent assessment from the Department of Commerce and the Department of Homeland Security called for domestic investment and production of key information and communications technology products such as PCBs.

The Supporting American Printed Circuit Boards Act does the following to incent domestic PCB manufacturing and R&D:

Establishes a financial assistance program, modeled on the CHIPS Act, within the Commerce Department for American facilities manufacturing or researching PCBs.
Provides a tax credit for entities that purchase American-manufactured PCBs.

A one-page summary of the bill can be found here and a section-by-section summary can be found here. The bill text can be found here.

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