Home Money & Business Business House Speaker Johnson suggests GOP could seek to overturn CHIPS Act, later clarifies position.

House Speaker Johnson suggests GOP could seek to overturn CHIPS Act, later clarifies position.

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WASHINGTON — On Friday, House Speaker Mike Johnson suggested that Republicans might pursue the repeal of the CHIPS and Science Act, which was designed to enhance semiconductor production in the U.S. However, he quickly clarified his stance, expressing a preference for “streamlining” rather than outright repeal.

Johnson made these remarks during a campaign event for a vulnerable GOP congressman from New York, in an area anticipating the arrival of a major Micron semiconductor manufacturing facility. When asked by a reporter if Republicans would work to repeal the legislation, Johnson initially stated, “I expect that we probably will, but we haven’t developed that part of the agenda yet.” This comment drew immediate criticism from Democrats, who interpreted it as an indication of a concerted effort by Johnson and former President Trump to undermine popular government initiatives.

The White House has praised the CHIPS Act for generating significant investments and creating numerous jobs across the nation. Vice President Kamala Harris has highlighted the act during her campaign appearances, asserting that it demonstrates Democrats’ ability to effectively manage the economy.

Johnson, who opposed the original legislation, later clarified that the CHIPS Act, which allocated $54 billion to boost the semiconductor industry, was not on the agenda for repeal. He stated, “To the contrary, there could be legislation to further streamline and improve the primary purpose of the bill—to eliminate its costly regulations and Green New Deal requirements.”

This incident is not the first time Johnson has needed to retract statements. Earlier in the week, he faced backlash after suggesting he wanted to drastically reform the regulatory landscape and make significant changes to the Affordable Care Act. Following criticism, he indicated that repealing the health care law was “not on the table.”

These events highlight Johnson’s challenge in maintaining a balance between working collaboratively with Trump and supporting his fellow House members, particularly those engaged in critical reelection campaigns essential for Republicans’ slim majority. Johnson was specifically campaigning for Rep. Brandon Williams, a New York Republican who has a background in technology and was a proponent of the CHIPS Act.

Williams later revealed that he had a private conversation with Johnson following the comments regarding the possible repeal of the act. “He apologized profusely, saying he misheard the question,” Williams relayed.

In Williams’ district, the arrival of the Micron plant is eagerly anticipated. The company has disclosed that it is receiving $6.1 billion in grants from the CHIPS Act to facilitate its expansion plans.

New York Governor Kathy Hochul, a Democrat, reacted strongly to Johnson’s comments, stating, “Anyone threatening to repeal the CHIPS & Science Act is threatening more than 50,000 good-paying jobs in Upstate New York and $231 billion worth of economic growth nationwide.”

Democrats are hopeful that Johnson’s contradictory remarks will provide them with momentum as they aim to reclaim the House majority. Viet Shelton, spokesperson for the Democratic Congressional Campaign Committee, quipped, “Most politicians usually go to a community promising to create jobs… Mike Johnson, ever the trendsetter, decided to visit a town and promise to kill jobs in that town.”