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On December 23, 2022, President Biden signed into law the National Defense Authorization Act for Fiscal Year 2023 (“FY2023 NDAA”). Section 5949 of FY2023 NDAA (“Section 5949”) would prohibit executive agencies from procuring or contracting with entities to obtain any electronic parts, products, or services that include covered semiconductor products or services from certain Chinese companies. The semiconductor prohibitions will not take effect until five years after the date of enactment, and the Federal Acquisition…

Following our first short video on some of the key trends and priorities the Biden Supply Chain Policy is driving for companies across sectors and industries, Baker McKenzie is pleased to launch the second in our Biden Supply Chain Policy video series focused on the semiconductor and advanced packaging supply chain. This is one of four critical supply chains that has been a particular focus of the Biden Administration’s supply chain policies.In this video, Kerry Contini…

On January 24, 2022, the US Department of Commerce (“Commerce”) issued a request for information (“RFI”) to gather input on incentivizing domestic semiconductor investments and accelerate chip research to “ensure a robust domestic semiconductor industry.” Comments must be received by 5:00 p.m. Eastern time on March 25, 2022. Specifically, with the assistance of the National Institute of Standards and Technology (“NIST”), Commerce is requesting information to inform the design and implementation of the potential programs…

On September 24, 2021, the Commerce Department’s Bureau of Industry (“BIS”) published a “Notice of Request for Public Comments on Risks in the Semiconductor Supply Chain” (“Notice”). The Notice seeks responses from various parties in the semiconductor supply chain about current shortages and related issues. Comments in response to the Notice are due by November 8, 2021. The Notice was issued in response to a 100-Day Supply Chain Review (“Review”) of semiconductors and advanced packaging…

On June 8, 2021, the White House published a set of reports on the 100-day interagency reviews (“Reports”) conducted pursuant to Executive Order 14017 (“Supply Chain EO”), which assessed supply chain risks and vulnerabilities for several supply chains, including those relating to semiconductor manufacturing and advanced packaging, and made policy recommendations to address those risks. The Reports suggest that export controls on semiconductor-related equipment and technology can help protect the technological advantage of the United States in…

The Biden Administration has taken some initial steps towards identifying vulnerabilities in the semiconductor manufacturing and advanced packaging supply chain, which was one of the four critical supply chains addressed in President Biden’s February 24, 2021 Executive Order on “America’s Supply Chains” (“the Supply Chain EO”). As detailed in our March 2, 2021 blog post, the Supply Chain EO requires relevant government agencies in these four critical areas to submit a report within 100 days…

European Commission adopts proposal for Single Market Emergency Instrument In briefOn September 19, 2022, the European Commission (“Commission”) adopted a proposal that would give the EU sweeping new powers to address shortages and supply chain disruptions of crisis-relevant and strategic goods and services in times of crisis. The proposed Single Market Emergency Instrument (“SMEI”) is the latest in a series of EU measures that will impact supply chains, including new proposals for rules on foreign…

In brief The semiconductor shortage is increasingly obvious, from the automotive industry to consumer electronics. In fact, the chip shortage has even been referenced as a potential matter of national security. H.R. 4346, better known as the CHIPs and Science Act (“Act”), was signed into law by President Biden on 9 August, 2022 and seeks to promote semiconductor supply chain resilience by establishing incentives to increase the production of microchips and related devices, including through…

On May 11, 2022, the Diet of Japan approved the “Act on the promotion of national security through integrated economic measures” 1 (“Act”). Key features of the Act include the establishment of (i) a system to ensure stable supplies of critical materials, (ii) a system to ensure stable provision of services using critical infrastructure, (iii) a system that supports the development of critical technologies and (iv) a secret patent system. The Act will enter into…

Baker McKenzie is pleased to launch the fifth in our Biden Supply Chain Policy video series focused on the pharmaceuticals and active pharmaceutical ingredients supply chain, which is another of the critical supply chains that has been a particular focus of the Biden Administration. The Biden Administration has been pursuing policies aimed at increasing resilience in this supply chain by addressing shortages and minimizing disruption through a range of measures, including efforts to on-shore and near-shore…