got to shop at the polls. kevin, what we do something else from the wall street journal board tonight, talking about the deal that manchin is made with you my. it says the senate g.o.p. got played. republicans of course i had some $1.28 trillion in new, nondefense spending was on our stand helplessly by the democrats pass another $433 billion in spending. what the g.o.p. s role, responsibility and where we are right now? takeover commission, you know me well enough and you know my heritage well enough to know that although we are conservative, were always going to call the balls and strikes. senate republicans to get it. i can only assume that they operated in good faith. i would assume that. the problem is that earlier this week, they signed on to that monstrosity of a one quarter of a trillion dollar chips bill, purportedly to be tougher with china, that is only going to leave the construction of more chip factories in china with our taxpayers money. had they not signed on to that,
by the british bank standard charter. now, still question marks and always concern when you talk about china, about transparency and visibility inside the country. some of the recent covid outbreaks, according to the same report i mentioned, may have disrupted activity. and then housing, which has been slumping in china a year, prices are falling. economists say they don t appear to have bottomed out. but the best industry might be semiconductors or computer chips. congress here in the united states is moving to provide more money to domestic chip companies, china is moving with its own goal of building more than 30 new chip factories by the year 2024. kind of speaks to a chinese plan in some ways similar to what we hear about in the u.s. to be more independent economically, not rely as much on global supply chains. when it works remains to be seen. many economists miss china to
which is a really big deal because the chinese produce a lot of chips and taijuan also is a massive producer of chips and obviously, a lot of risk there given the relationship with the china and taijuan. so a lot of risk there. we have to get it back in the united states. i agree with the commerce secretary. we need to get this passed. what do the stakes say if congress goes into the august recess without passing this bill? well, that s a big mistake. you have a lot of the good news is you have a lot of makers from intel, the biggest from taijuan semi conductor, the largest chip producer in the world saying they ll build factories here, chip factories here if that piece of legislation is passed. if it s not passed, that puts in jeopardy those plans and the longer it takes congress to pass this, the longer it takes us to address this issue and by the
we re building factories. semiconductor factories at home and trying to not be so reliant on a couple of different countries, but that s two years out, right, before those are all up and running? exactly. the chip factories take years to build. huge capital endeavors. the truth is, the auto industry learned the hard way. they re always the biggest customer of their suppliers. chip players, they re not. auto companies rely on older chips, less profitable, less high margin to the manufacturer. when this disruption happened, they learned a lesson about where they fit in the global supply chain. it was humbling. tesla because of their ability to adjust their software, you see the agility of that model being important to their success. other manufacturers are trying to figure out how they can do that so this doesn t happen. seller s market for used cars, talking about it like it s