🏭 Ohio's semiconductor blues

Plus: Jan. 6 hearings return | Sunday, July 10, 2022

Open in app View in browser   Presented By BlackRock®   Axios Sneak Peek By Alayna Treene, Hans Nichols and Zachary Basu · Jul 10, 2022 Welcome back to Sneak. Smart Brevity™ count: 1,095 words ... 4 minutes. 🇵🇸 Situational awareness: President Biden will announce $100 million in aid to Palestinian hospitals in East Jerusalem during his visit to the Middle East this week, Axios' Barak Ravid scooped.     1 big thing: Ohio's semiconductor blues Illustration: Allie Carl/Axios   Inflation, guns and abortion are shaping midterms races everywhere. But in Ohio, a more niche concern — Congress' stalled China competition bill and its $52 billion for the domestic semiconductor industry — has grabbed candidates' attention even as voters are still figuring out why they should care, Axios' Sophia Cai writes from the campaign trail. Why it matters: Senate rivals Rep. Tim Ryan (D) and J.D. Vance (R), as well as GOP Gov. Mike DeWine and Democratic challenger Nan Whaley, all know the fate of the CHIPS Act could impact thousands of jobs and carry long-term economic implications for the state. The big picture: Intel has pledged to spur a "Silicon Heartland" starting with a $20 billion project creating semiconductor fabricating plants in Licking County on the outskirts of Columbus. That could create 3,000 full-time jobs there, plus ripple effects for hundreds of suppliers across the state and investment and partnerships with universities. Passing the CHIPS Act could speed and maximize the project's scope. But if the bill doesn't pass, there are concerns it could slow or diminish Intel's commitment and shift money and jobs overseas. State of play: Senate Minority Leader Mitch McConnell (R-Ky.) has threatened to sink the CHIPS Act if Democrats push ahead on a climate, energy and tax deal without GOP support. With the bill stalled, Intel has delayed a groundbreaking ceremony set for this month. Driving the news: As Vance and Ryan vie for the claim of champion for Ohio's working class, Ryan is making McConnell's gamble with the CHIPS Act — and the future of Ohio's semiconductor economy — a top campaign issue. What they're saying: "This is a full-frontal attack on the state of Ohio, from a senator of a bordering state who's in a position of power," Ryan told Axios in an interview between campaign stops last week. "Every Republican in central Ohio and every voter in Ohio will know that Mitch McConnell blew this off, and I'm going to hang it around J.D. Vance's neck." The other side: Vance declined an interview request but in a statement to Axios cast the stalled legislation as a bipartisan failure. "The death of the CHIPS Act is a terrible indictment of our do-nothing leadership," he said. "It has all the parts of the usual Washington story: a terrible problem, a group of local governments and companies coming together to solve it, and Democrats tanking it with their leftist wish list."     2. 🗳️ Part II: Dems against the odds Tim Ryan and Nan Whaley. Photos: Drew Angerer; Chip Somodevilla via Getty Images Ryan and Whaley both face uphill contests. Sabato's Crystal Ball last month ranked the governor's race as "safe Republican" and the Senate race as "likely Republican." Both Dems see championing Ohio's future role in the semiconductor industry as a way to show their commitment to creating skilled, high-paying jobs in the state. "We need to pass that and then hit the gas pedal," Ryan said. "That needs to be a down payment on new industrial policy in the United States." "There's no one in Ohio that doesn't want this plan to happen," Whaley said. Between the lines: Beyond semiconductors, Ryan and Whaley are making different appeals to voters. "Independent," Ryan says when asked to use one word to describe himself politically. "I'm a Democrat, but I don't think the government has all the answers," Ryan told a group of Black entrepreneurs. Whaley, a former mayor of Dayton, is the first woman to be nominated for governor in Ohio by a major party. She's offering a rare all-female ticket, with Cuyahoga County Council vice president Cheryl Stephens. "These doors have been closed for women in Ohio for a long time," Whaley told Axios. She said the Supreme Court's overturning of Roe v. Wade triggering state bans — such as Ohio's at six weeks — may motivate turnout more than the fate of federal semiconductor funding. But both issues impact Ohio's ability to recruit and retain women in the workforce, Whaley said. "This is not a place that says, 'Yes, I am welcoming.' And I want women that are talented to come to Ohio right now." Read the full story.     3. 🔮 Search for post-Roe North Star Illustration: Shoshana Gordon/Axios   The Supreme Court's overturning of Roe v. Wade has left anti-abortion rights activists, grassroots organizations and the Republican Party divided over how to move forward, after decades of rallying behind a universally shared goal, Axios' Alayna Treene reports. Why it matters: Many anti-abortion rights leaders privately recognize the political appetite for a federal abortion ban is not there right now and that pushing too hard, too fast could cost them in crucial elections. GOP lawmakers are in an especially precarious position — their base sees the end of Roe as a starting point, but the broader American electorate overwhelmingly believes abortion should be legal in most cases. Just 12% of Americans believe Congress should pass a national law banning abortion, according to polling by the Public Religion Research Institute. What they're saying: "Pro-lifers and abortion advocates will rhetorically call for federal legislation, but that requires 60 votes in the Senate," Ralph Reed, founder of the Faith & Freedom Coalition and close friend of former President Trump, tells Axios. "For that reason, it is likely that resources will shift [away from a federal fight] and progress made primarily in state legislatures in the near term," Reed predicted. Penny Nance, CEO of Concerned Women for America, told Axios her goal is still to push for a federal ban, but that she and other anti-abortion rights leaders "believe in the democratic process." Keep reading.     A message from BlackRock® Invested in the future of retirees     All across the country, people are working hard to build a better future. So, we are hard at work, helping them achieve financial freedom. At BlackRock, we are proud to manage the retirement plan assets of over 35 million Americans. Learn more.     4. 📺 Sunday best: Jan. 6 hearings return Screenshot: CNN's "State of the Union" Rep. Zoe Lofgren (D-Calif.), a member of the House Jan. 6 committee, confirmed on CNN's "State of the Union" that video excerpts from Friday's eight-hour deposition with former White House counsel Pat Cipollone will be featured in this week's hearings. Pressed on reports that the committee did not ask Cipollone to corroborate disputed quotes from Cassidy Hutchinson's testimony, Lofgren replied: "We never call in witnesses to corroborate other witnesses or to give their reaction to other witnesses." "At no point was there any contradiction of what anybody said," Rep. Adam Kinzinger (R-Ill.) added on ABC's "This Week."     5. ⛽ Tweet du jour Via Twitter The analysis above, retweeted by White House chief of staff Ron Klain, marks a rare bit of good news on energy prices for President Biden as he jets off to Israel and oil-rich Saudi Arabia on Wednesday.     A message from BlackRock® Invested in the future of first responders     We're proud to manage the pensions of those who serve others. All across the country, we're helping Americans invest for their future. Meet Joshua, one of the hundreds of thousands of first responders whose retirement plan assets are managed by BlackRock. Learn more.   📬 Thanks for starting your week with us! Send us feedback by replying to this email. Are you a fan of this email format? It's called Smart Brevity®. Over 300 orgs use it — in a tool called Axios HQ — to drive productivity with clearer workplace communications.   Axios thanks our partners for supporting our newsletters. 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