Prioritizing freight rail can end semiconductor shortage, Pennsylvania legislators say

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U.S. Reps. Mike Kelly (R-PA) and Guy Reschenthaler (R-PA) sent U.S. Transportation Secretary Pete Buttigieg a letter Tuesday urging the Biden administration to prioritize freight rail as a solution to the semiconductor shortage.

Semiconductor chips are used in numerous technologies and are a critical part of freight railcars.

The lawmakers said it is essential that the rail industry receives a higher allocation of chips to quicken the transition to zero-emission fleets, ensure the movement of goods, and protect safety equipment or components.

“The chip shortage and bottlenecked supply chain are two major drivers of inflation,” Kelly said. “Prioritizing chips for freight rail will lower costs for both retailers and consumers across the United States. The rail industry in Western Pennsylvania has always been strong. I look forward to working with the administration on this issue to ensure it remains just as robust into the future.”

“As our nation continues to grapple with record high inflation and supply chain disruptions, we must support the American businesses and workers who can get our economy back on track,” Reschenthaler said.

Experts do not expect the current chip shortage to improve until 2024.

Kelly’s district includes several freight train and rail producers, including Wabtec, which has plants in Erie and Grove City.