President William Lai (賴清德) yesterday called for unity and cooperation in the global semiconductor supply chain to take on dumping by Chinese suppliers.
Speaking at a semiconductor forum organized by the Industrial Technology Research Institute (ITRI, 工研院), Lai said the semiconductor sector continues to face problems caused by unfairly low prices from Chinese suppliers of materials needed in mature processes.
The Chinese government has used subsidies, among other measures, to allow suppliers to dump products on the global market, he said.
Photo: CNA
The global semiconductor industry now faces a similar problem, and if it fails to take action, the situation would worsen, he added.
“Countries should unite and cooperate as partners in the global semiconductor supply chain to ease the impact of dumping from China,” Lai said. “Otherwise, innovation cannot continue and industrial development would be affected.”
Taiwan ranks No. 1 in the global pure play foundry sector, accounting for 90 percent of total advanced chip sales, first in the integrated circuit (IC) packaging and testing services business, and third in the IC design business, he said.
The nation also continues to be part of the global supply chain, Lai said.
Other countries contribute to the global semiconductor industry in their own ways, such as the US, which is good at semiconductor materials, equipment and technology development, so Taiwan cannot be the only driver of the sector’s growth, he added.
“Cooperation in the global supply chain is very important in the push for the prosperity of the next generation,” Lai said. “Taiwan has the responsibility to act as a focal point in technology development in the artificial intelligence [AI] era.”
The government would work with the industrial sector in creating policies to improve legal mechanisms, and provide financial assistance and tax incentives to help the industry grow, he said.
Echoing Lai, ITRI senior vice president Stephen Su (蘇孟宗) said that the global semiconductor sector needs a larger talent pool, so Taiwan should cooperate with partners in cultivating the next generation of talent.
Taiwan should also work with partners to build a diversified semiconductor supply chain by creating forward-looking technologies and setting industrial standards, he said.
Japanese Representative to Taiwan Kazuyuki Katayama said that cooperation between Taiwan, Japan, the US and Europe should prevent interruptions in the semiconductor supply chain, which would in turn guarantee the world’s economic security.
Meanwhile, American Institute in Taiwan Deputy Director Jeremy Cornforth said the US values its partnership with Taiwan, and that he hoped the two sides would take advantage of technological developments to build a resilient supply chain.
Cornforth said he also hoped to reinforce the Taiwan-US partnership, which would allow Washington to maintain its competitive edge in semiconductor and AI development.
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