The Chip EQUIP Act of 2024 prohibits companies that receive federal funding for semiconductor manufacturing from purchasing semiconductor production equipment made by foreign entities of concern or their subsidiaries. The bill targets equipment used in chip fabrication, assembly, testing, and related processes, including deposition, lithography, and inspection equipment. However, the Secretary of Commerce can waive these restrictions if comparable equipment is not available from the United States or allied countries in sufficient quantities and quality, or if using foreign equipment complies with export regulations and serves U.S. national security interests. The legislation applies to existing semiconductor subsidy programs and aims to protect American chipmaking investments from reliance on equipment from potentially hostile foreign sources.