the battle of semiconductors in Taiwan, a power issue

Semiconductors are essential in cars and planes, and present in computers and smartphones. Will these microchips soon be untraceable? The threat hovers, following the renewed tension between China and Taiwan. The island is indeed a giant in the semiconductor sector. It alone represents 59% of the market, compared to 12% for the United States and 10% for Europe. The visit of the leader of the American congresses, Nancy Pelosi, to Taiwan, could change everything. His arrival angered Beijing, which considers Taiwan a Chinese province.

Since then, China has multiplied the demonstrations of force. The escalation caused the world leader in semiconductors, the Taiwanese company TSMC, to react. “No one can control TSMC by force. In the event of a military attack or invasion, our factories will have to stop producing“said company president Mark Liu.

Before an open conflict, production is already subject to Chinese sanctions. Beijing has stopped exports of sand to Taiwan, an essential material for making silicon, itself essential for producing electronic chips. In response to the shortages of the post-Covid recovery, the United States launched a massive plan to relocate production, like Europe and France.