Lael Brainard, director of the White House National Economic Council, emphasized that the funding would help to tame inflation.

“Semiconductors are the key input in so many goods that are vital to our economy,” said Brainard, adding that greater U.S. production of chips would have reduced the supply problems that caused the cost of autos and washing machines, among other goods, to rise as the country emerged from the coronavirus pandemic in 2021.