Taiwan’s semiconductor industry set to suffer after U.S.-China trade disputes

During the semiconductor shortage, if there’s one thing we’ve learned, it’s that Taiwan has an absolute stranglehold on the chip production market. If you want to get specialized chips made with the latest technology, chances are you’ll get it in Taiwan. The country accounts for 64% of the global foundry market with heavyweights like TSMC producing chips for all sorts of large companies. However, the changes coming from the United States could mean changes for that dominance, and it’s going to be interesting to watch.

A Bloomberg (opens in a new tab)report (via Tom’s Hardware (opens in a new tab)) says a combination of changes to US sanctions on China as well as China’s Covid lockdowns could lead to big changes according to a Taiwanese economics official. Since China is spending a pretty penny on chips from Taiwanese manufacturers, a major economic downturn is expected thanks to US influence.

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