US Congress Reaches Bipartisan Agreement on Federal Budget Including Semiconductor Strengthening

[Image source=Reuters Yonhap News]

[Asia Economy New York=Special Correspondent Joselgina] On the 20th (local time), the leadership of the U.S. Democratic and Republican parties agreed on the 2023 fiscal year budget with three days remaining before the budget deadline. If passed by both the House and Senate, the feared federal government shutdown can be avoided.

According to the Washington Post (WP), New York Times (NYT), and others, the bipartisan leadership announced an agreement on the $1.7 trillion 2023 fiscal year federal government budget on the same day.

The 4,155-page agreement includes a defense budget of $858 billion as well as key economic policy-related budgets of the Joe Biden administration. It also allocates $44.9 billion for emergency military aid to Ukraine and $38 billion for natural disaster relief. The agreement includes provisions banning the use of the Chinese video-sharing app TikTok on government devices, reforms to vote counting laws, and measures to strengthen semiconductor manufacturing in the U.S., earning it the label of "bipartisan."

Patrick Leahy, Democratic Senator and Chairman of the Senate Appropriations Committee, said in a statement that day, "This is the result of months of effort and compromise," emphasizing, "Passing this bipartisan budget is undoubtedly in the best interest of the American people." WP reported, "Although the Democrats did not secure all the budgets they pushed for to stimulate the domestic economy, progress was made on stalled key bills amid the situation where Republicans will become the majority in the House starting January next year."

If the agreement passes without unexpected variables, the shutdown crisis is expected to be averted. The U.S. 2022 fiscal year ended on September 30, and the deadline for the temporary budget allowing the government to operate based on the existing budget is also until the 23rd.

Local media reported that the budget vote is expected to take place in the Senate on the 22nd. Democratic Senator Chuck Schumer urged, "This budget is full of good news for our military, Ukraine, American jobs, families, and democracy," adding, "No one wants a shutdown. Swift action is needed within days."

However, despite the bipartisan agreement, some Republicans, mainly from the far-right hardliners, have voiced that the budget should be discussed in the newly convened Congress in January next year, leaving the possibility of last-minute difficulties unresolved.

This content was produced with the assistance of AI translation services.