Taiwan pressured to move 50% of chip production to US or lose protection
6 hours ago
- #semiconductor industry
- #supply chain
- #US-Taiwan relations
- The Trump administration is pressuring Taiwan to move 50% of its chip production to the US for protection against a Chinese invasion.
- Taiwan currently produces 95% of chips used in smartphones, cars, and military defense technology.
- US Commerce Secretary Howard Lutnick aims to increase US chip production from 2% to 40% by bringing Taiwan's supply chain to the US.
- Experts believe shifting the supply chain could take much longer than a single presidential term.
- Nvidia CEO Jensen Huang estimates the US is 10-20 years away from supply chain independence.
- Lutnick acknowledges the challenge, noting Taiwan would need convincing as it benefits from its current global chip supplier role and allied protections.