U.S. pressing Taiwan to provide more chips to U.S. automakers
06 May, 2021
The U.S. Commerce Division can be pressing Taiwan Semiconductor Making Co Ltd and various other Taiwanese organizations to prioritise the demands of U.S. automakers to ease chip shortages in the near term, Commerce Secretary Gina Raimondo said.
Raimondo told a good Council of the Americas event on Tuesday that long run, increased investment was had a need to produce more semiconductors in america and that other critical supply chains needed re-shoring, including to allied countries.
"We're working hard to see if we are able to get the Taiwanese and TSMC, which is usually a big company there, to, you understand, prioritize the wants of our auto companies since there's so various American jobs at risk," Raimondo explained in response to a concern from an over-all Motors Co executive.
"As I said, there's not really a day goes by that we don't push in that," she said, adding the channel- and long-term solution would be "simply building more chips in America."
On Wednesday, TSMC said that tackling the shortage remained its top priority.
"TSMC has been working with all parties to ease the automotive chip supply shortage, we understand it is a shared concern of the worldwide automotive industry," it said in a statement to Reuters.
Last month, LEADER C C Wei reported TSMC had caused customers since January to reallocate more capacity to aid the auto industry, but the shortage worsened due to a snowstorm on Texas and a fab manufacturing disruption on Japan.
Wei expected the chip shortage for the firm's auto customers to get greatly reduced from another quarter.
Taiwan Market Minister Wang Mei-hua told lawmakers in Taipei that many countries had sought help from the federal government and TSMC.
"However, TSMC includes a commercial device and must adhere to professional norms," she explained on Wednesday, without elaborating.
The Commerce Department plans a meeting with automakers in a few days on the chip shortage issue, said officials briefed on the problem. A Commerce Section spokesman declined to comment.
United Auto Employees Legislative Director Josh Nassar explained in created testimony for a U.S. House hearing on Wednesday that the chip shortage had brought layoffs of "thousands of workers."
He added, "Clearly, we must bolster domestic development of automotive-quality semiconductors."
Last week, Ford Electric motor Co warned the chip shortage might slash second-quarter production by one half, costing it about$2.5 billion and about 1.1 million units of lost production in 2021.
On Friday, GM said it could extend creation halts at several North American factories because of the shortage.
On April 12, President Joe Biden convened semiconductor and auto industry executives to discuss answers to the crisis. He backs $50 billion to aid U.S. chip making and research.
Source: japantoday.com