Posted on 07/22/2022 4:43:39 PM PDT by FarCenter
Taiwan controls most of the world's chip manufacturing capacity, and that worries US Commerce Secretary Gina Raimondo.
Raimondo believes the US would go into a "deep and immediate recession" and face great security risks if it lost access to the island nation's chips
The Commerce Secretary made the warning in a Wednesday interview with CNBC as part of her plea for Congress to aid a major US semiconductor manufacturing expansion by passing the Creating Helpful Incentives to Produce Semiconductors (CHIPS) Act, which would unlock $52 billion in subsidies for new plants and research efforts.
"If you allow yourself to think about a scenario where the United States no longer had access to the chips currently being made in Taiwan, it's a scary scenario," Raimondo told CNBC. "It's a deep and immediate recession. It's an inability to protect ourselves by making military equipment. We need to make this in America."
The issue is that Taiwan has faced ongoing aggression from China, which claims the self-governing island nation as its own and has not ruled out using military force to "reunify" the two. This has sparked fears that China could invade Taiwan and seize its manufacturing plants, which are run by, among other chipmakers, three of the world's largest contract chip manufacturers - it hte fabs aren't deliberately destroyed first.
This scenario would spell big trouble for the US because Taiwan produces 90 percent of the leading-edge chips that are bought by the country, according to Raimondo.
She is likely referring to TSMC, which Reuters said controls 90 percent of global output for such chips, citing industry estimates. This includes chips designed by companies such as Apple, Nvidia, AMD, and Qualcomm, and they are used in everyday devices such as smartphones, PCs, and servers. And then there's the whole military kit issue.
(Excerpt) Read more at theregister.com ...
Taiwan Semi is already building a big plant in North Phoenix and Intel is adding another phase to what they have down on the south side of town.
Really? Anyone hear of Gavin Newsome - making California a concrete block on the American economy all by himself......
WWG1WGA !
I bought some bolts today on Amazon; the description said they were “made in Taiwan, province of China.”
They’re just looking for more fig leaves.
Arizona, north of Phoenix, I believe. Huuuuuge facility. Gina must not know that. Another Biden moron.
Do you think it would be a smart idea to start making our own “Taiwanese products” ?
Your post said that we should get hoping, not hopping.
As for having chip making facilities here, well, local, state and Federal government entities were all running off new chip fabs and opposing expansion of existing facilities for decades.
So brilliant and novel that CNBC put this on.
Somebody better warn Raimondo that Joe is China’s lapdog and that anything China wants, China gets. Who do you think will be taking over Taiwan in the next couple years - of course the Biden administration will be “concerned” but won’t lift a military “finger”.
Don’t forget “monitoring closely” with “A laser like focus” at summits with breakout sessions.
Why did the US stop manufacturing chips?
Exactly. Too many items have chips added into them because the manufacturers knew they could put cheap chips into something to upsell overpriced options that customers really don't want.
Yes it does, and they do.
He’s so obvious; it’s painful.
Forgive the misspelling.
https://www.corning.com/asean/en/products/advanced-optics/product-materials/semiconductor-laser-optic-components.html
Losing Taiwan before the U.S. re-enter semiconductor manufacturing on a large scale would be really damaging to us and our military.
To do that would require CARB, the EPA and a whole slew of BS laws to be shitcanned.
By law, a car is required to possess on it to be sold in US(this list is not everything)
Smog equipment
Obd2 compliant systems
Backup cameras
Tire pressure sensors
Airbags
Interior trunk latches in cars with a separate trunk or storage compartment
Seat belts
This is all off the top of my head.
Obviously most of this does not require chips, but the excessive amount of regulations are a burden. Not to mention epa mandating fleet wide MPG numbers pulled out of their asses and not based in reality.
It would be more feasible to return to a single computer for engine and transmission control, then eliminate chips currently. Moat cars these days have at least 5 dedicated computers for various things due to canbus systems, which may also be some bs law too.
>> Taiwan controls most of the world’s chip manufacturing capacity
A good excuse to keep China at bay.
>> Samsung is building chip mfg plants in Austin but thats still years off.
Samsung is South Korea, no?
Tell you what, have pelosi give up all money trading stocks. Every penny.
Environmental laws and high labor costs were factors.
But once the wafers are fabbed, they are sent to low-cost locations in SE Asia to be cut into individual dice, tested and bonded into packages for mounting on printed circuit boards.
Plus, most of the customers for chips are electronics manufacturers in Asia making smartphones, tablets, PCs, networking gear, etc.
Texas Instruments, Intel, Micron and Global Foundries have fabs in the US. There are quite a number of fabs in the US that are older, using obsolete production line widths, or doing analog, power, and other specialized chips. I’d guess that a number specialize in parts for the military.
https://en.wikipedia.org/wiki/List_of_semiconductor_fabrication_plants
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