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  TSMC participates in White House semiconductor... - Taipei Representative Office, Bratislava 駐斯洛伐克台北代表處
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TSMC participates in White House semiconductor, supply chain summit

04/13/2021
Photo by AP
Photo by AP

 

Washington, April 12 (CNA) Taiwan Semiconductor Manufacturing Co. (TSMC), the world's largest contract chipmaker, took part Monday in a virtual White House summit to address the ongoing global semiconductor shortage and Washington's plans to strengthen U.S. supply chains.

The Hsinchu-based enterprise was among 19 companies, including fellow chipmakers Samsung, GlobalFoundries and Intel, to attend the summit, hosted by National Security Advisor Jake Sullivan, National Economic Council Director Brian Deese and Secretary of Commerce Gina Raimondo.

In brief remarks at the meeting, U.S. President Joe Biden told the executives that there was bipartisan support for efforts to strengthen the U.S. semiconductor industry in order to better protect the manufacturers that rely on it.

Earlier in the day, he said, he received a letter from a bipartisan group of 23 senators and 42 representatives urging passage of the CHIPS for America Act, a proposed US$50 billion investment in semiconductor manufacturing and research.

Biden argued, meanwhile, that companies that make and use semiconductors, as well as U.S. consumers, would benefit from the US$2 trillion infrastructure plan he has put before Congress.

"These chips, these wafers ... batteries, broadband -- it's all infrastructure. We need to build the infrastructure of today, not repair the one of yesterday," Biden said, adding that his plan would "protect our supply chains and revitalize American manufacturing."

After the meeting, TSMC Chairman Mark Liu (劉德音) issued a statement highlighting his company's investments in the U.S. but did not directly address what was discussed.

TSMC's planned US$12 billion investment in an advanced chip plant in Phoenix constitutes one of the United States' largest overseas investment plans in recent years, Liu said, and he was confident the project would succeed with continued bipartisan support from Washington.

Monday's meeting took place amid an ongoing shortage of computer chips that has hampered the global economic recovery from COVID-19, and prompted Biden to order a comprehensive review of U.S. supply chains in February.

U.S. automakers General Motors and Ford Motor, both of which attended the meeting, have had to announce production cuts and temporary plant closures in recent weeks amid difficulties sourcing automotive chips.

Many major auto manufacturers cut their chip orders last year amid plunging demand caused by the COVID-19 pandemic.

Because those openings in chipmakers' production schedules were later filled by orders from other industries, the carmakers are now struggling to keep up with rising consumer demand.

The White House cautioned, however, that the summit was not intended to provide immediate solutions but rather to consult with stakeholders on how the issue can be better addressed going forward.

TSMC announced last week a record NT$362.41 billion (US$12.76 billion) in sales in the first quarter of 2021, up 16.7 percent from a year earlier. It is scheduled to detail the results at an investors conference Thursday.

(Source of news: CNA)