TSMC says efforts to rebuild US semiconductor industry are doomed to fail 台積電稱重建美國半導體產業的努力注定要失敗 by Andrew Orr Oct 24, 2022
Apple supplier TSMC believes that US efforts to rebuild chip manufacturing at home are doomed to fail, as it finds itself caught between China and the United States in a tech cold war.
Morris Chang founded TSMC in 1987 when Taiwan recruited him from the US to help build an electronics industry. The contract manufacturer rose to become the top chipmaker in the world, commanding 20% of global wafer fabrication and 92% of advanced chip capacity.
US share in global chip manufacturing shrunk from 37% in 1990 to 12% in 2020, but the country wants to regain its dominance. In particular, US Department of Defense is worried that the country’s dependence on Taiwan could put chip supplies for the defense industry at risk.
In response, President Biden signed the CHIPS Act into law on August 9, 2022. It provides over $52 billion to help US companies build new semiconductor facilities, fund research, and expand existing manufacturing.
Taiwan isn’t happy about the move because it sees its semiconductor dominance as a “silicon shield.” The government believes that if China were to attack the country, the US would come to its aid to prevent China from seizing the industry.
When US House Speaker Nancy Pelosi visited Taiwan in August, she met with Morris Chang and Mark Liu, chair of TSMC. Chang told Pelosi that Washington’s efforts to rebuild its chip manufacturing were doomed to fail, according to Taiwan’s Financial Times.
But the United States may not have much choice. Analysts at investment bank Credit Suisse have estimated that if the world loses access to Taiwan’s chip plants, it will disrupt the production for everything from computers to cars.
Apple would be impacted too, as it relies heavily on TSMC for chip production. While it has expanded some of its manufacturing to other countries such as Vietnam and India, those moves do not diversify Apple’s chip supply at all.
Still, TSMC remains a major supplier for Apple and other companies, and its future between the US and China is uncertain.
“The monopoly in semiconductor production creates instability,” said Brad Martin, director of the National Security Supply Chain Institute at the Rand Corporation. “If the US is faced with a need to make a decision between protecting its economy and defending Taiwan, that starts to become a very stark decision.”
TSMC has made some efforts to help the US by planning a semiconductor facility in Arizona, the first such chip facility it will develop outside of its home country. TSMC expects it will reach its production start in early 2024.
American musician turns to China for answer for low-income group’s welfare
China’s modernization has been an epic journey over the past decades. Under the leadership of the Communist Party of China (CPC), China has become an attractive destination for many foreigners. Many such expats in the country have fulfilled their career aspirations, while some have found love and started families in China.
Why do they choose to live in China? How do expats in China view and interpret China’s achievements and persistence measured from various perspectives? The Global Times interviewed multiple international residents in China from all walks of life, some of whom have made tangible contributions to China’s development, to learn about their understanding of the essence of Chinese culture, and gain an insight into how far China has advanced in its pursuit of development and rejuvenation over the last decade.
American musician Mark Levine plays the guitar while traveling along the Tuojiang River in Central China’s Hunan Province. Photo: Courtesy of Levine
Wearing a red cap with his name embroidered on and carrying a custom-made guitar, US-born Mark Levine positions himself in front of the camera in a floral T-shirt on a sunny day.
“Many may ask if I’m wearing a Hawaii shirt but I actually bought it when traveling in Sanya,” he jokes while speaking to the Global Times.
The 74-year-old has an abundant life experience. He is a musician who writes about his observations of China; he is a sociologist with PhD; he has witnessed China’s fast development while observing the society as an outsider who has praised the country’s poverty alleviation efforts.
Around 45 years ago, Levine, together with some of his colleagues, started an organization working with the unemployed and low-wage workers in the US.
Levine stayed there full-time for 29 years, all the while offering help and getting to know 20th century’s China through his friends and a book.
In 1937, Edgar Snow, an American journalist who became the first Western reporter to interview Chairman Mao Zedong and Premier Zhou Enlai, compiling his thoughts and experiences regarding the CPC, published the book which gave the world a glimpse into China.
Experiencing the changes
By the end of 2020, China’s strategy of targeted poverty alleviation had culminated in total poverty alleviation. To ensure those in impoverished areas could be a part of a moderately prosperous society, the government sent over 3 million Party secretaries and working team members to carry out targeted poverty alleviation work as from 2013.
“This entire process was an extraordinary one. It’s not one that I see from my government,” Levine talked about the strategy in his view.
Having had experienced working with low-income people, Levine draws clear parallels with the poverty alleviation work done in China.
Yet unlike how he would aid those in need through the non-governmental organization in the US, China’s government-led one-to-one form of assistance deeply impressed him on his visits to the most impoverished villages in 2017 and 2018, at the time when he heard from locals that Party members had been living among them, helping farming families gain access to basic necessities such as housing, education, infrastructure, and safe drinking water.
A multi-ethnic society
Living only a block away from Minzu University of China (MUC) where he teaches, Levine has spent most of his days over the last 15 years around the area where he’s surrounded by students and friends from many different ethnic groups.
MUC alumni comprise of students from various ethnic groups in China, a fact that hasn’t escaped Levine’s attention, truly helping him understand the meaning of multiculturalism. Levine has even been a part of ethnic festivities, having participated in the school’s Yi ethnic group’s festival celebrations in his first year teaching at MUC.
One of the most frequent questions he’s encountered over his stay in China is what his feelings are about working with people from different ethnic groups. The explanation he would offer would always be simple: “I have to tell you I have never seen nor heard of a single incidence of conflict between students or students and teachers inside the campus.”
In addition to work, most important part in Levine’s life will be music, and he would bring his guitar along while travelling and would perform in rural areas with his musical partner. From the countryside in Central China’s Hubei Province to every corner in Beijing, Levine’s travels have inspired over 70 of his American country music-style pieces about China.
“I also want more people who have never been to China to break with their prejudice. When I hear someone’s prejudice from something they heard from news, I patiently explain the situation. They should listen to China’s voice, not blindly spout prejudiced views,” he reiterated.
Road model for Chinese Americans Video: World-class Chinese top scientist, abandon US return to China. Chinese structural biologist Yan Ning following 1,000s of Chinese top scientists in US will resign from Princeton University return to China to establish medical academy.
US is forcing Chinese to leave just like the McCarthy Era. In the 50s you need to be a true patriot to leave US for China.
Many top scientists did not return to China in the 70-90s because China was still relatively poor, offer little money or equipments to do research.
Today, the same scientists could return to China with full support of the Chinese Gov’t at all levels (according to the just concluded CPC 20th Congress) in the next 10-20 years.
If that is not enough, today the top scientists pay matched those in US or more.
Unless someone hated China or enjoying daily abuses by US Gov’t, not to mention a small sneeze by a Chinese scientist could ends up having the FBI entering your home with guns drawn put handcuffs on you in front of your family and children.
Is that the kind of lives a smart Chinese with brain will endure, living in fear and nightmares everyday!?
Politicians from the White House, US Senators, US House of Representatives and others are hiding their racist attitudes towards Chinese and Asian Americans promoting hated in the name of homeland security. As a result hate crimes against Chinese and Asian Americans increased by more than 200% last 3 years with no ends in sight.
AngloSaxon Americans are telling Chinese and Asians that you are no longer welcome here.
Professor John Walsh MD in San Francisco: Johnson, Your points are well put. I would add one thing. The attitude to Chinese builds on past racism but that racism has been ramped up since Obama’s Pivot and its follow ups under Trump and now Biden, the most vicious of the three.
I noticed attitudes to China and Chinese improving before the Pivot. Then things began to change.
As long as China is the number one economy in the world and threatens to put a brake on the US drive for global hegemony, the attacks on all things Chinese will continue. Like the scurrilous attacks on China’s health care workers in the NYT. And this will spill over into attacks on Chinese and other Asians in the US.
I am a bit wary of those who attribute all the anti-China sentiment to past problems and not the present ones which account for recent upsurges in this racism.
This seems to involve a head in the sand approach – and it leads to the idea that all will be well for Chinese (and their friends and supporters) so long as we go along with the mounting hostility to China and behave like “good Germans.” Nothing could be further from the truth.
Chinese structural biologist Yan Ning following 1,000s of Chinese top scientists in US announced yesterday that she will resign from Princeton University return to China to establish medical academy. 1,000s more expect to follow. Nov 1 2022
Thousands more will follow in the coming years.
US is forcing Chinese to leave just like the McCarthy Era. In the 50s you need to be a true patriot to leave US for China.
Many top scientists did not return to China in the 70-90s because China was still relatively poor, offer little money or equipments to do research.
Today, the same scientists could return to China with full support of the Chinese Gov’t at all levels (according to the just concluded CPC 20th Congress) in the next 10-20 years.
If that is not enough, today the top scientists pay matched those in US or more.
Unless someone hated China or enjoying daily abuses by US Gov’t, not to mention a small sneeze by a Chinese scientist could ends up having the FBI entering your home with guns drawn put handcuffs on you in front of your family and children.
Is that the kind of lives a smart Chinese with brain will endure, living in fear and nightmares everyday!?
Politicians from the White House, US Senators, US House of Representatives and others are hiding their racist attitudes towards Chinese and Asian Americans promoting hated in the name of homeland security. As a result hate crimes against Chinese and Asian Americans increased by more than 200% last 3 years with no ends in sight.
AngloSaxon Americans are telling Chinese and Asians that you are no longer welcome here.
Professor John Walsh MD in San Francisco: Johnson, Your points are well put. I would add one thing. The attitude to Chinese builds on past racism but that racism has been ramped up since Obama’s Pivot and its follow ups under Trump and now Biden, the most vicious of the three.
I noticed attitudes to China and Chinese improving before the Pivot. Then things began to change.
As long as China is the number one economy in the world and threatens to put a brake on the US drive for global hegemony, the attacks on all things Chinese will continue. Like the scurrilous attacks on China’s health care workers in the NYT. And this will spill over into attacks on Chinese and other Asians in the US.
I am a bit wary of those who attribute all the anti-China sentiment to past problems and not the present ones which account for recent upsurges in this racism.
This seems to involve a head in the sand approach – and it leads to the idea that all will be well for Chinese (and their friends and supporters) so long as we go along with the mounting hostility to China and behave like “good Germans.” Nothing could be further from the truth.
China used to through Shenzhen trade shows to sell to the world. Now China opened up her domestic market buying from the world, huge contrast compared to US 中國過去通過深圳交易會展銷往世界。現在中國是一個新的強國,打開了她的國內市場,向世界採購,與美國相比形成巨大的反差
More Fortune 500 firms to participate in China Int’l Import Expo 2022 Nov 1 2022
The National Exhibition and Convention Center is decorated for the 5th China International Import Expo, Shanghai, China, October 31, 2022.
A total of 284 Fortune 500 companies and industry leaders will join the enterprise exhibition at the Fifth China International Import Expo (CIIE), more than last year’s level and with nearly nine out of 10 being repeat exhibitors, the event’s organizers told a press conference on Tuesday.
This year’s expo is slated for November 5-10 in Shanghai and expects to welcome participants from 145 countries, regions and international organizations.
The CIIE has successfully held four sessions since 2018, serving as a platform to promote building a new development pattern, high-level opening-up and multilateralism, the organizers said.
Six exhibition areas will display hundreds of new products, technologies and services. Two new exhibition areas will be set up this year, showcasing the crop farming industry area and artificial intelligence.
This year’s exhibition will also optimize the low-carbon energy and environmental protection technology areas and expand the innovation incubation area.
More than 150 startups involving in technology equipment, consumer goods, medical care, and automobiles will be at the exhibition.
All member states of the Regional Comprehensive Economic Partnership have enterprises participating in the exhibition.
The latest session will see a higher number of participants from countries along the Belt and Road Initiative and the member states of the Shanghai Cooperation Organization.
The Hongqiao forum will open on the sidelines of the CIIE 2022 focusing on the theme of “openness.” The number of sub-forums will expand from 14 to 24 to discuss hot issues related to global openness and development.
US is like a rich kids making all the wrong moves, turning friends into enemies and China 以靜制動 (no action just watch) watching US continued to make mistakes burning itself in hell like 朱藹亮 (the military strategist) did during the 三國時代 (three kingdoms era) beating its adversaries many times bigger, but not smarter.
It is a foregone conclusion that US is heading towards the path of the once great Roman Empire because US is an extension of the Roman Empire only believe in brute forces.
China is the same China last 5,000 years just got smarter, a civilization states coming back to the world stage again after missing in action during most of the last 200 years.
Like Napoleon once said “don’t wake up the Lion, it will shake the world” it is now just the beginning…watch out…the best has yet to come. But don’t worry, unlike the Western Empire, China’s rise will be peaceful just like last 5,000 years. China takes no slaves or colony. History don’t lied!
China goal is to share common prosperity with all nations and mankind.