Semiconductor Sovereignty Act

This bill tells the Department of Commerce to study the full U.S. chip (semiconductor) supply chain and report on how to keep more chip making and research in America. The report must map key pieces like tools, software, design and packaging steps, and the minerals and gases used, plus where these materials come from and how they move. It must also track offshoring and reshoring since 1990, where work is going now, and bottlenecks in making and trading chips. The study looks at effects on the U.S. economy, national security, supply chains, allies, adversaries such as China, Russia, Iran, and North Korea, and vulnerable markets like Taiwan.

Based on the findings, Commerce must suggest ways to discourage moving chip work overseas and to grow it here at home, such as tax breaks, subsidies, attracting and keeping skilled workers, and stronger oversight of foreign takeovers of U.S. chip assets. It also examines cases where companies received federal incentives (like under the CHIPS Act) and then still offshored work. The plan should consider long‑term trends looking out about 30 years. The first report is due within 240 days, with yearly check‑ins and updates. Personal identifying details about named people cannot be included in the report .

Key points

• Who is affected: Department of Commerce; U.S. and foreign chip makers and suppliers; research groups; workers and students moving between countries; companies that received federal chip incentives.
• What changes: A national plan to map the chip supply chain, track offshoring, study risks, and propose tools (like tax incentives, subsidies, and oversight) to boost U.S. chip manufacturing and research .
• When: Initial report within 240 days of enactment; review and updates every year after that.