US official warns Chinese seizure of TSMC in Taiwan would be ‘extremely terrible’

0
65
US official warns Chinese seizure of TSMC in Taiwan would be 'extremely terrible'
US official warns Chinese seizure of TSMC in Taiwan would be 'extremely terrible'

US Commerce Secretary Gina Raimondo stated on Wednesday that a Chinese invasion of Taiwan and seizure of chipmaker TSMC would be “absolutely devastating” to the US economy.

U.S. Commerce Secretary Gina Raimondo said Wednesday that a Chinese invasion of Taiwan and seizure of chipmaker TSMC (2330.TW) would be “absolutely devastating” to the US economy.

When asked about the impact before a US House hearing, Raimondo stated “it would be absolutely devastating,” declining to say how or if it would happen, adding: “Right now, the United States buys 92% of its leading edge chips from TSMC in Taiwan.”

U.S. Commerce Secretary Gina Raimondo said Wednesday that a Chinese invasion of Taiwan and seizure of chipmaker TSMC (2330.TW) would be “absolutely devastating” for the US economy.

When asked about the impact before a US House committee, Raimondo responded, “It would be absolutely devastating,” but declined to specify how or if it would happen, adding, “Right now, the United States buys 92% of its leading edge chips from TSMC in Taiwan.”

According to the department, the Taiwanese company will produce the world’s most sophisticated 2 nanometer technology at its second Arizona fab, which is anticipated to start production in 2028.

TSMC, the world’s largest contract chipmaker and a major supplier to Apple (AAPL.O) and Nvidia (NVDA.O), has previously announced plans to invest $40 billion in Arizona. TSMC plans to commence high-volume production in its first U.S. fab by the first half of 2025, according to Commerce.

In 2022, Congress passed the Chips and Science Act, which provides $52.7 billion in research and manufacturing subsidies to improve domestic semiconductor output and wean the United States from reliance on Asian chips. Lawmakers also authorized $75 billion in federal loans.

A 2023 US government document calculated that a large manufacturing disruption in Taiwan might result in a 59% increase in the US price of logic chips, which American downstream firms would have to pay.

Also readPublic transit apps prioritize cybersecurity measures to protect their digital systems and safeguard passenger data, says Narayan Mishra Co-founder & CTO at Tummoc – a public transit app

Do FollowCIO News LinkedIn Account | CIO News Facebook | CIO News Youtube | CIO News Twitter 

About us:

CIO News is the premier platform dedicated to delivering the latest news, updates, and insights from the CIO industry. As a trusted source in the technology and IT sector, we provide a comprehensive resource for executives and professionals seeking to stay informed and ahead of the curve. With a focus on cutting-edge developments and trends, CIO News serves as your go-to destination for staying abreast of the rapidly evolving landscape of technology and IT. Founded in June 2020, CIO News has rapidly evolved with ambitious growth plans to expand globally, targeting markets in the Middle East & Africa, ASEAN, USA, and the UK.

CIO News is a proprietary of Mercadeo Multiventures Pvt Ltd.