Bloomberg Tax
June 30, 2022, 10:57 PM

McConnell Threatens China Bill Over Biden Tax, Climate Plan (3)

Erik Wasson
Erik Wasson
Bloomberg News

Senate GOP leader Mitch McConnell said he will block bipartisan legislation to boost US competition with China and provide subsidies for domestic semiconductor manufacturing as long as Democrats pursue a go-it-alone economic package.

McConnell made the threat as Senate Majority Leader Chuck Schumer is negotiating a scaled-back version of President Joe Biden’s economic plan with West Virginia Democratic Senator Joe Manchin. That plan includes prescription drug price cuts, tax hikes on the wealthy and corporations, and energy and climate provisions.

The China bill, which provides more than $50 billion to subsidize US semiconductor chip manufacturing, has been stalled as ...