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Senate Struggles With China Competition Bill Before Recess

US

Yesterday we outlinedthree major areas the Senate wanted to get through before going away for the Memorial Day weekend recess. However, a chaotic night on 27 May has seen any hope of significant or swift progress halted.

  • While a smooth vote and approval for the U.S. Innovation and Competition Act (containing the Endless Frontier Act) - a USD110bn package of investment in tech research intended to increase competition with China - had been hoped for by majority leader Chuck Schumer (D-NY), this was not possible. Despite a 'managers package' being eventually agreed between Schumer and minority leader Mitch McConnell (R-KY), Sen. Ron Johnson (R-WI) held up the bill, complaining that he had not had sufficient time to read the additional amendments.
  • As such, there is now no clear timeline for the final vote on the bill (there are at least 3 more procedural votes before the final one).
  • This means there is no clear timeline for the other major issue the Senate wants to resolve before the recess, a vote on the proposed bipartisan independent commission to investigate the 6 January Capitol riots. The Republicans look set to filibuster the bill setting up the commission with little chance of enough GOP senators siding with Democrats to invoke cloture.
  • As such, Senate business could well continue into the weekend. Trouble with getting this bill (seen by DC observers as generally non-controversial and would usually be passed on a bipartisan basis swiftly) passed - especially just before a recess when the legislative process often speeds up - could prove indicative of future trouble the Dems will face in getting legislation through an obstinate GOP bloc in the chamber.

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