Employers across Washington state helped to lead the way out of the COVID-19 pandemic by delivering essential products and services at a time of tremendous need. Over the past two years, we have witnessed the essential role manufacturers play in our economy, which has only underscored the need for a strong domestic supply chain for critical inputs.

Snags and slowdowns in that supply chain are now fueling the next challenge facing businesses and families in Washington—the highest inflation in 40 years. Businesses are dealing with rising input costs, while increased prices for everyday products threaten to erode household savings and income.

While we cannot solve the supply chain crisis overnight, Congress does have an opportunity this summer to notch a significant bipartisan achievement that would help reshore critical industries and position businesses and manufacturers in Washington for a new generation of competitiveness. This China competition legislation would make significant strides toward countering counterfeit goods, providing funding for supply-chain resiliency and adjusting our trade laws so that our state’s businesses and producers can sell their products around the world.

At the centerpiece of the legislation, though, is a measure known as the CHIPS Act—a crucial proposal that would ensure that Washington state remains in the top 10 for semiconductor manufacturing employment and position our state to grow this crucial industry.

Demand for semiconductors, silicon-based electronic components that are embedded in most computerized products, is booming. Goods ranging from smartphones to automobiles to commercial equipment used on factory floors, and any number of other “smart” products, depend on this crucial input in our connected economy. But unfortunately, most of the production for semiconductors currently is based outside the U.S.

Slowdowns in semiconductor manufacturing abroad has meant work slowdowns and production stoppages for many of the crucial products on which we rely, making inflation worse.

Passing the CHIPS Act, short for Creating Helpful Incentives to Produce Semiconductors for America Act, would help ensure that we have access to these crucial inputs from fabrication facilities right here in the U.S.

According to recent research, passing the CHIPS Act would add 280,000 jobs across the country and add $24.6 billion to the U.S. economy.

Washington state is well-positioned to take advantage of these investments in our semiconductor productivity, thanks to our Center of Excellence for Semiconductor & Electronics Manufacturing, a collaborative project that brings together manufacturers and the state’s community and technical college system to develop a skilled workforce to support this industry. Our state’s recently extended tax incentives for semiconductor materials manufacturers, along with our low energy costs and abundant supply of water, make Washington primed to seize on this next generation of modern manufacturing.

Employers across Washington state are counting on our leaders in Washington, D.C., to rise to this moment and pass the CHIPS Act as part of the China competition bill, and by doing so, taking decisive action to address the supply-chain crisis and the root causes of rising inflation.

Kris Johnson is president of the Association of Washington Business, the state’s chamber of commerce and manufacturers association.