Defense Semiconductor Stockpile Act
Bill: H.R.8104 | Sponsor: Rep. Gallagher, Mike (R-WI)
Policy area: Armed Forces and National Security

Summary:
Defense Semiconductor Stockpile Act
This bill requires the Department of Defense (DOD) to study and report on the strategic materials (e.g., semiconductors and related manufacturing equipment) it requires to execute its operational plans in a conflict with a strategic competitor (e.g., China) lasting not less than six months.
The bill also requires DOD to implement a pilot program to acquire the highest priority minerals, materials, or equipment for the National Defense Stockpile.

To assess the semiconductor requirements of the Department of Defense 
            in a conflict scenario, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Defense Semiconductor Stockpile 
Act''.

SEC. 2. STUDY AND PILOT PROGRAM ON SEMICONDUCTORS AND THE NATIONAL 
              DEFENSE STOCKPILE.

    (a) Study Required.--
            (1) In general.--The Secretary of Defense shall--
                    (A) conduct a study on the strategic materials 
                required by the Department of Defense to execute the 
                operational plans of the Department in a conflict with 
                a strategic competitor lasting not less than six 
                months; and
                    (B) submit to the congressional defense committees 
                a report on such study.
            (2) Elements.--The report required under paragraph (1) 
        shall include the following:
                    (A) A description of the specific number and type 
                of semiconductors for key systems and munitions, 
                delineated by technical specifications, performance 
                requirements, and end-use applications, that the 
                Department of Defense requires to execute and sustain 
                the operational plans of the Department during a 
                conflict with a strategic competitor in the Indo-
                Pacific for not less than six months.
                    (B) A description of any supply chain 
                vulnerabilities or choke points, including from sole 
                sources of supply or geographic proximity to strategic 
                competitors, involving the critical minerals and 
                strategic raw materials (including chemicals) required 
                to produce the semiconductors described in subparagraph 
                (A).
                    (C) A description of any supply chain 
                vulnerabilities or choke points, including from sole 
                sources, geographic proximity to strategic competitors, 
                or legacy technology, involving the manufacturing 
                equipment required for each step in the manufacturing 
                process from the raw materials described in 
                subparagraph (B) to the finished and operational 
                semiconductor chip described in subparagraph (A), and 
                an identification of potential secure sources of supply 
                or manufacturing involving the United States, allied, 
                or partner nations.
                    (D) An analysis of the ability of the Department of 
                Defense and private industry, as appropriate, to 
                procure the semiconductors described in subparagraph 
                (A) and mitigate the vulnerabilities identified in 
                subparagraphs (B) and (C), during a conflict with a 
                strategic competitor in the Indo-Pacific lasting not 
                less than six months, along with associated 
                recommendations, any additional necessary authorities 
                to carry out such recommendations, and the cost of each 
                recommendation.
                    (E) A feasibility assessment and recommendations 
                for acquiring for the National Defense Stockpile the 
                semiconductors described in subparagraph (A), including 
                the expected cost.
                    (F) A description of options to finance the cost of 
                the recommendations described in subparagraph (D).
            (3) Definitions.--In this subsection:
                    (A) Strategic competitor.--The term ``strategic 
                competitor'' means a country labeled as a strategic 
                competitor in the document entitled ``Summary of the 
                2018 National Defense Strategy of the United States of 
                America: Sharpening the American Military's Competitive 
                Edge'', issued by the Department of Defense pursuant to 
                section 113 of title 10, United States Code.
                    (B) Strategic materials.--The term ``strategic 
                materials'' means--
                            (i) semiconductors described in paragraph 
                        (2)(A);
                            (ii) critical minerals and strategic raw 
                        materials described in paragraph (2)(B); and
                            (iii) manufacturing equipment described in 
                        paragraph (2)(C).
    (b) Pilot Program.--
            (1) Establishment.--Upon the submission of the report under 
        subsection (a), the Secretary of Defense shall carry out a 
        pilot program under which the Secretary shall acquire for the 
        National Defense Stockpile the highest priority minerals, 
        materials, or equipment identified in such report.
            (2) Report.--Not later than 1 year after the establishment 
        of the pilot program described in this subsection, and annually 
        thereafter until the date described in paragraph (3), the 
        Secretary of Defense shall submit to the congressional defense 
        committees a report on the status and effects of the pilot 
        program.
            (3) Termination.--The pilot program established under this 
        subsection shall terminate on September 30, 2028.
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