U.S. Senate Majority Leader Chuck Schumer said on Wednesday he would launch a new effort to address competition with China, planning a new package of legislation to boost the United States’ ability to compete with the Asian powerhouse.
After passing a bill last year to boost competition with Beijing in semiconductors and other technology, the Democratic leader will announce bipartisan legislation to limit the flow of technology to China, deter China from initiating a conflict with Taiwan, and tighten rules to block U.S. capital from going to Chinese companies.
“The Chinese government is not constraining itself in its pursuit to dominate the 21st century, and if we in America would rest on our laurels, if we let the CCP (Chinese Communist Party) beat us, it would have serious consequences for the world’s democratic nations,” Schumer said in a speech opening the Senate.
The effort, dubbed the China Competition Bill 2.0, follows an effort last year when President Joe Biden signed legislation authorizing more than $170 billion over five years to boost U.S. scientific research to better compete with China and $52 billion in new subsidies for semiconductor manufacturing and research.
Schumer is working with Senate committee leaders to draft the legislation over the coming months. He will hold a news conference at 12 p.m. EDT (1600 GMT) to formally announce the effort.
The bill will also seek funding for additional domestic investments in key technology areas and provide a better U.S. alternative to China’s Belt and Road global infrastructure initiative.
Some of the ideas in the new legislation were part of a broader China bill that was scaled back last year and eventually became the law known as the “Chips and Science” act.