H.R. 1215 — Semiconductor Supply Chain Security and Diversification Act of 2025

This section establishes the short title of the Act as the “Semiconductor Supply Chain Security and Diversification Act of 2025.”

This section establishes definitions for “upstream supply chain” and “downstream supply chain” for purposes of the Act. It defines the upstream supply chain to include mining, production, or processing of critical minerals used in semiconductor manufacturing, including zinc, gallium, germanium, silicon, lithium, and cobalt, and defines the downstream supply chain to include semiconductor testing and packaging facilities, including advanced testing and packaging facilities.

This section states the sense of Congress that the United States has an economic and national security interest in diversifying the semiconductor supply chain by encouraging the development of regionally based semiconductor ecosystems in the Western Hemisphere to complement investments in the United States under the CHIPS and Science Act. It also establishes U.S. policy to (1) promote the security of allies and partners by encouraging accessible, transparent, competitive, and robust semiconductor markets that provide diversified sources, types, and parts of semiconductor chips and (2) encourage U.S. public- and private-sector investment in Latin American semiconductor infrastructure projects to bridge national security needs and commercial demand in a manner consistent with the region’s absorptive capacity.

This section directs the Secretary of State, in consultation with the Secretary of Commerce and other relevant agencies, to focus Department of State efforts on supporting Western Hemisphere governments in diversifying their upstream and downstream supply chains, including semiconductor supply chains. It authorizes diplomatic and political support to the Organization of American States and Western Hemisphere governments to facilitate cross-border infrastructure negotiations, improve the region’s semiconductor regulatory environment, and develop accessible, transparent, and competitive supply chain markets supplied by diverse sources, types, and routes of energy. It also directs support for measures to diversify supply sources and routes and to enhance semiconductor market integration across the region. This section further authorizes the United States International Development Finance Corporation to provide support for upstream and downstream supply chain projects in Western Hemisphere countries with upper-middle-income or high-income economies, and it exempts those projects from the restrictions in 22 U.S.C. 9612(c)(2). The Corporation may provide such support only if the President certifies to the appropriate congressional committees that the support furthers U.S. national economic or foreign policy interests and the support is either designed to produce significant developmental outcomes or benefits for the poorest population in the country, or is necessary to preempt or counter efforts by a strategic competitor of the United States to gain political or economic leverage or acquire national security-sensitive technologies or infrastructure in an allied or partner country. It also defines “appropriate congressional committees” for this section by cross-reference to 22 U.S.C. 9601.