U.S. President tells state of Ohio that he will revive manufacturing

President Joe Biden wants to put the spotlight on a rare bipartisan down payment on U.S. manufacturing when he visits Ohio on Sep. 9 for the groundbreaking of a new Intel computer chip facility.

Biden heads to suburban Columbus to take a victory lap just as voters in the state are starting to tune in to a closely contested Senate race between Democratic Rep. Tim Ryan and Republican author and venture capital executive JD Vance. They’re competing in a former swing state that has trended Republican over the last decade.

Intel had delayed groundbreaking on the $20 billion plant until Congress passed the bipartisan CHIPS and Science Act. Both Ryan and Ohio Republican Gov. Mike DeWine, who is facing Democrat Nan Whaley in his reelection bid, plan to be at Friday’s groundbreaking.

In his State of the Union address last March, Biden envisioned the Intel plant as a model for a U.S. economy that revolves around technology, factories and the middle class. The plant speaks to how the president is trying to revive American manufacturing nationwide, including in states that are solidly Republican or political toss-ups.

Chipmaker Micron committed $15 billion for a factory in Idaho, Corning will build an optical fiber facility in Arizona and First Solar plans to construct its fourth solar panel plant in the Southeast, all announcements that stemmed from Biden administration initiatives.

As part of Biden’s visit, Intel will announce that it’s providing $17.7 million to Ohio colleges and universities to develop education programs focused on the computer chips sector.

Factory work is one of the few issues going into November’s midterm elections that has crossover appeal at a time when issues such as abortion, inflation and the nature of democracy have dominated the contest to control Congress.

Ryan had largely been hesitant to share a stage with Biden, as appearing with the country’s top Democrat could hurt his chances in a state that backed Republican Donald Trump by eight points in both 2016 and 2020.

The shortage of semiconductors has plagued the U.S. and global economies. It cut into production of autos, household appliances and other goods in ways that fueled high inflation, while creating national security risks as the U.S. recognized its dependence on Asia for chip production.

The mix of high prices and long waits for basic goods has left many Americans feeling disgruntled about Biden’s economic leadership, a political weakness that has lessened somewhat as gasoline prices have fallen and many voters have grown concerned about the loss of abortion protections after the Supreme Court overturned Roe v. Wade.

The new law would provide $28 billion in incentives for semiconductor production, $10 billion for new manufacturing of chips and $11 billion for research and development. The funding follows similar efforts by Europe and China to accelerate chip production, which political leaders see as essential for competing economically and militarily.