TAIPEI (Taiwan News) — The U.S. House of Representatives passed a bill on Friday (Feb. 4) urging a change of name of Taiwan’s representative office in the U.S. as the two countries enhance their partnership.

The America COMPETES Act of 2022 was passed by a vote of 222-210, which marks a step towards the Biden administration’s objective to sharpen the U.S.’ competitive edge against China while bolstering its manufacturing sector, in particular the semiconductor industry.

A significant proportion of the bill is dedicated to promoting closer ties with Taiwan, including advocating the renaming of the "Taipei Economic and Cultural Representative Office (TECRO)," the de facto Taiwan embassy. It asks relevant authorities to start negotiations to change the office’s name to the “Taiwan Representative Office in the United States,” as it’s the policy of Washington to “refer to Taiwan as Taiwan, not Taipei or Chinese Taipei,” it stated.

The 2,912-page bill also involves sections to boost the U.S-Taiwan relationship from many perspectives. These include assisting Taiwan in developing its asymmetric defense capabilities, helping it engage with the world through meaningful participation in international organizations such as the World Health Assembly (WHA), and shoring up bilateral cooperation in technology and trade.

U.S. President Joe Biden welcomed the passage of the act in a statement, describing it as a critical vote for the country to “outcompete China and the rest of the world in the 21st century.” “America can’t afford to wait,” he stressed.

The America COMPETES Act entails US$52 billion in subsidies to aid the semiconductor industry and US$45 billion for bolstering supply chains for high-tech goods. The Senate passed the U.S. Innovation and Competition Act in June and negotiations will begin to formulate a version both chambers agree upon for Biden’s signature.