Donald Trump Wants CHIPS Act to Be Scrapped, Calls It a Waste of Money

U.S. President Donald Trump has called for the cancellation of the CHIPS Act, arguing that it is a bad policy and a waste of taxpayer money. He criticized Former President Joe Biden’s administration for spending billions of dollars on the program, saying it does not provide any real benefits. Trump suggested that instead of funding semiconductor production, Congress should eliminate the act and use the remaining money to help reduce the national debt.

The CHIPS and Science Act was passed in 2022 under the Biden administration to boost semiconductor manufacturing in the United States. The law provides nearly $100 billion in government funding to encourage companies to build and expand chip production facilities. This effort aims to strengthen America’s position in the semiconductor industry, which is crucial for modern technology, including artificial intelligence, smartphones, and defense systems.

Several major companies have received funding through the CHIPS Act, including Intel, Taiwan Semiconductor Manufacturing Company (TSMC), Samsung Electronics, and Texas Instruments. The U.S. government has been pushing for more domestic chip production to reduce dependence on foreign manufacturers, especially as tensions with China continue to grow. The U.S. has also imposed restrictions on China’s access to advanced semiconductor technology to maintain its technological and economic advantage.