Quorum Report Newsclips Wall Street Journal - July 10, 2022

Congress juggles China bill, Democrats’ climate and drug-pricing ambitions

Congress returns on Monday with Democrats aiming to revive central pieces of President Biden’s stalled economic agenda while trying to keep on track a separate, bipartisan bill targeted at boosting competitiveness with China that top Republicans are threatening to block. House Democrats also are set to roll out legislation responding to the Supreme Court ruling ending federal abortion protections. The push could include legislation to write into law the right to an abortion before fetal viability, as well as a bill intended to block any state attempts to criminalize travel for the purpose of getting an abortion. The bills wouldn’t have enough support to pass the Senate. The three-week work period may be the last chance lawmakers have for a legislative victory before campaigning begins in earnest for midterm election races across the country. Republicans are heavily favored to win back control of the House this fall, while the Senate is seen as a tossup.

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Lawmakers have been working since last year to negotiate the China bill, which aims to bring semiconductor manufacturers to the U.S., by reconciling differing versions passed by the House and Senate. The bill, called USICA in the Senate, was inching toward the finish line when Senate Minority Leader Mitch McConnell (R., Ky.) last month said he wouldn’t move forward unless Democrats dropped their efforts to revive economic proposals that Republicans oppose. The purpose of the Democratic economic package is to lower prescription-drug prices, provide incentives for reducing carbon emissions and raise taxes on companies and high-income households. Negotiations on the China bill have since come to a standstill, a GOP aide said. In recent weeks, several chip manufacturers have announced they would reconsider plans to build in the U.S. if Congress didn’t act soon. An all-senators classified briefing by Biden administration officials is planned for Wednesday to emphasize the national security implications, said several aides. Efforts are under way to put together a similar briefing for the House, said a person familiar with the matter. “Fundamentally we will not have the ability to protect ourselves as a nation if this bill is not passed,” Commerce Secretary Gina Raimondo said in an interview, pointing to the U.S. dependency on Taiwan for semiconductors and overall supply-chain disruptions. Ms. Raimondo acknowledged Mr. McConnell has slowed down the process.

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