Posted on 07/12/2023 3:30:37 AM PDT by FarCenter
Contrary to US Commerce Secretary Gina Raimondo and other high-tech nationalists’ wishes, the semiconductor industry is not migrating back to America any time soon.
On the contrary, the globalization of production capacity and new technology development is accelerating away from the US. Ironically, Biden administration subsidies for establishing semi-conductor factories in the US and export restrictions on high-end chips and chip-making equipment are helping to drive the process – and not just in China.
Last February 23, Raimondo delivered an impassioned speech to students at Georgetown University’s School of Foreign Service, at which she said:
I want the United States to be the only country in the world where every company capable of producing leading-edge chips will have a significant R&D and high-volume manufacturing presence…. It is America’s obligation to lead. We must push like no time before.
That is an ambitious goal, to say the least, but the reality is Europe, Taiwan, South Korea and Japan want to keep their leading-edge technologies at home; China must develop its own, in the face of US sanctions; and, in some cases, establishing a manufacturing presence in the US just doesn’t make economic or commercial sense.
Logistically, why should Sony make image sensors in the US for cell phones that are assembled in Asia? Why should Samsung Electronics make memory chips in the US when it has the world’s greatest economies of scale in South Korea?
Samsung is building a new logic integrated circuit (IC) contract manufacturing facility in Taylor, Texas. The project is now about 50% over budget due to construction cost inflation, according to reports.
On July 7, the European Union and the government of Flanders announced a 1.5 billion euro (US$1.65 billion) investment in the Interuniversity Microelectronics Center (imec), headquartered in Belgium.
On June 28, imex and ASML announced joint plans “to intensify their collaboration in the next phase of developing a state-of-the-art high-numerical aperture (High-NA) extreme ultraviolet (EUV) lithography pilot line at imec.”
“This groundbreaking new high-NA technology is crucial for developing high-performance energy-efficient chips, such as next-generation AI systems… Significant investments are needed to secure industry-broad access to high-NA EUV lithography beyond 2025 and retain the related advanced node process R&D capabilities in Europe,” they said.
Imec is a world-leading R&D center for the semiconductor industry. ASML, headquartered in the Netherlands, dominates the global market for semiconductor lithography equipment and has a monopoly on leading-edge EUV lithography. It assembles its lithography systems in Veldhoven in the Netherlands using components sourced in Europe, the US and Taiwan.
The Syracuse Micron pipe dream is most amusing of them all.
and TSMC is building a big chip factory in Arizona.
Intel is also build 2 new chip factories in Arizona.
I don’t believe in either. I don’t think God is a bearded man meting out justice.
Anyway, the US is just going to get crappier via demographics.
Africa and Central America are all full of terrible countries.
The problem isn’t the land, it’s the people, and they’re coming here.
Is Intel backing out of Ohio?
"Intel said it remains committed to Ohio, but the pace of its expansion depends on the legislation, known as the CHIPS Act, and Intel CEO Pat Gelsinger told CNBC this week more investment could shift to Europe. (Jul 1, 2022)
Christianity is growing in China, just as it first did in Ancient Rome. God can make descendants of Abraham from the rocks, so why can't He do this too?
Meanwhile in reality...
“A big fat tariff will bring back ALL industry to the USA.”
In 1865 the US economy was devastated from 4 years of Civil War. Thirty five years later, in 1900 the United States had the largest industrial economy on the planet. During that 35 year period the United States imposed the highest tariffs in its history.
From 1940-1945 US industry supplied the allied powers with the guns, tanks, ships and aircraft to fight a global war.
In 2023, after 30 years of low tariffs, and one sided globalist trade policies, the United States industrial base has be decimated. We do not have a textile and apparel industry to clothe our people. Most consumer goods are produced overseas. The semiconductor (chip) industry we created has gone overseas. Most industrial supply chains have left the United States over the past 30 year. Only 30 years to decimate an industrial infrastructure that took 130 years to build.
Rebuilding the US manufacturing economy will take high tariffs. It will also take investment, a hands off policy by the rapacious federal government, and a commitment to shifting the education system from creating social justice warriors to teaching skills required to succeed in an advanced industrial economy, and reinstalling the work ethic as a primary cultural value.
Sadly, I see no political will or desire in either party to make the sacrifices and changes required to make the American economy great and independent again. As to the American people, can they set aside their cell phones, televisions and video games in order to do the hard work of rebuilding the economy?
trump put on some tariffs....biden took them off
We couldn't even cancel our TV subscriptions when the media we were paying for was lying about Trump and us, so I have very little hope.
But I also have children in my family who will have to live in the nation we leave behind, so I'm not giving up.
Yet AOC fought tooth & nail to keep Amazon out!
AOC had nothing to do with Amazon’s decision.
NYS refused to cough up the bribe money.
Is the American who doesn’t believe God better than the African ?
There is eternity and a Judgement Day for all.
Yes, tariffs or some scheme to incentivize companies to relocate back to the US. Maybe simply cut off commerce from communist China. At some point it is going to happen unless we surrender. Better to do it now before other countries set up manufacturing and leave us still without restoring ours.
https://www.nbc4i.com/intel-in-ohio/another-intel-grant-agreement-still-in-the-works/
The $600 million bribe is still in the works.
Companies don’t just move their manufacturing capacity to China because it’s cheaper. They do it because Asia is a bigger market than the U.S. for more and more consumer products.
Irrelevent you globo HOMO.
But it’s not that simple, is it.
The ChiComs make it clear what companies have to do to be allowed access to Chinese markets, and companies submit.
That statement pretty much sums up your erratic idiocy on this website perfectly. I’m going to gently suggest you get a basic education in economics and business management so you don’t keep posting foolish things like that.
I believe in God. I don’t agree with your definition.
You can live in fear, God gave me a brain.
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