US to pass the Chips Acts $50 billions to subsidize domestic semiconductor manufacturing. How will it affect Taiwan and in what ways?
How will it affect the stock markets? Sell TSMC? Buy Intel?
Once it’s signed into law, Biden will call Xi who will act like he’s very upset, and demand Biden to stop Pelosi from travelling to Taiwan. Biden will demand Xi on the Russian issues. Xi will demand Biden to allow Chinese money to participate. They will reach a deal along this line. What do you think?
My guess is that the bill has no purpose other than to dump lots of funny money into the pockets of the rich. There are plenty of semiconductor fabs in the US, and they’re perfectly capable of producing everything that US industry needs. Dunno about passive components (without which the chips are useless) since those are a lot more dependent on unusual raw materials, but I doubt Biden either knows nor cares about those.
Subsidies for wafers are included in the act. Global wafers (環晶) is waiting on the bills’ passage before setting up shop in Texas.
I was thinking more in terms of boring stuff like MLCCs and inductors. The US does make some locally, but an awful lot of them (and the raw materials for them) are imported.
Intel, TSMC, and Samsung will all get subsidies. American HQd companies like Intel won’t get any favorable treatment.
TSMC, which has already started building fabs in Arizona, will benefit massively if this bill passes. I don’t think they can back out if it doesn’t. They will also keep their mos advanced nodes in Taiwan.
The Dumpster continues to show he can only undo the achievements of greater men. But hey, who needs advanced semiconductors anyways? MAGA those kids to the mines!
Easier to threaten Taiwan whilst profiteering off China. USA’s SOP.