World is overly dependent on Taiwan for Semiconductors: Bloomberg

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TAIPEI (The China Post/ANN) — The world’s dependence on Taiwan’s semiconductors has greatly increased in the past few years, becoming an integral part of the global supply chain, Bloomberg reported on Tuesday. 

According to the analysis, “Taiwan’s role in the world economy largely existed below the radar,” until it rose to prominence following problems in chips used in the auto industry. 

Taiwan Semiconductor Manufacturing Co. (台積電) was credited as the backbone in withstanding such a turn of events, as U.S., Japan and many other automakers began lobbying for the help of TSMC afterwards. 

The article stressed that this “illustrates how TSMC’s chip-making skills have handed Taiwan political and economic leverage in a world.”

However, the constant threat of an invasion from Beijing has many worried that the TSMC chip factories will become collateral damage should China make good on their threats, the article continued.

Mathieu Duchatel, director of the Asia program at the Institut Montaigne in Paris was quoted saying, should “Taiwanese forces were to be overwhelmed during an invasion, “there is no reason why they would leave these facilities intact.” 

Therefore, he continued, “preserving the world’s most advanced fabs “is in the interests of everyone.”