Senate Bill Would Boost U.S. PCB Manufacturing

By AI, Created 3:25 PM UTC, May 20, 2026, /AGP/ – A new Senate bill introduced May 20 aims to revive U.S. printed circuit board manufacturing with a 25% tax credit for American-made PCBs. Supporters say the measure matters for national security, semiconductor supply chains and the buildout of AI data centers.

Why it matters: - Printed circuit boards are a critical input for semiconductors, national defense systems and AI data centers. - U.S. PCB production has fallen from 30% of global supply to 4% over the past 30 years, leaving the country more dependent on overseas supply chains. - Supporters say reshoring PCB production would reduce reliance on heavily subsidized foreign industries and strengthen economic security.

What happened: - Senators Ruben Gallego, a Democrat from Arizona, and Jim Justice, a Republican from West Virginia, introduced S.4569, the Protecting Circuit Boards and Substrates Act, on May 20, 2026. - The bill would create a 25% tax credit for the purchase or acquisition of American-made PCBs. - The Printed Circuit Board Association of America welcomed the legislation as a step toward restoring domestic PCB manufacturing.

The details: - The Senate bill is a companion to H.R. 3597, which includes the same tax credit and adds a $3 billion grant program for American PCB manufacturers. - David Schild, executive director of the Printed Circuit Board Association of America, said the bills address both national security and economic security. - Schild said every semiconductor needs a PCB to function. - Schild said PCB production and know-how have been offshored to heavily subsidized industries in Asia. - The association points to smart industrial policy as a reason the U.S. semiconductor industry is expanding. - The group says the PCB bill is the next step in an American manufacturing renaissance. - The release points readers to PCBs 101 for more information on printed circuit boards.

Between the lines: - The legislation reflects a broader push in Washington to rebuild supply chains tied to advanced manufacturing and defense. - The tax credit is designed to make domestic PCB purchases more competitive against imported alternatives. - A grant program in the House companion bill would add direct federal support for U.S. producers, suggesting lawmakers see price incentives alone as insufficient.

What’s next: - The Senate and House bills will need further congressional action before either proposal can become law. - If enacted, the measures could encourage new domestic investment in PCB capacity and reduce pressure on downstream semiconductor and defense supply chains. - The association plans to continue advocating for reshoring the industry.**