U.S. Secretary of Commerce Gina Raimondo warned Congress that the nation’s economy could suffer a sharp and sudden downturn if access to Taiwan-made semiconductor chips were disrupted. The warning was part of a broader call for rapid action to strengthen the domestic chip supply chain. The message underscores growing concern in Washington about staying competitive in semiconductor manufacturing and reducing exposure to foreign supply risks. (Source: The Register)
Raimondo emphasized the potential consequences of losing access to chips produced in Taiwan and urged lawmakers to authorize more subsidies for building semiconductor fabrication facilities on U.S. soil. The push aligns with federal policy efforts, including the Chip Act passed in 2021, which directs the government to allocate significant funding to grow the American semiconductor industry. (Source: The Register)
According to Raimondo, a disruption in access to Taiwan’s chip supply would trigger a deep, immediate recession and would impair the United States’ ability to manufacture critical military equipment and maintain national security. The call to action centers on accelerating domestic production by establishing manufacturing capacity within American borders. (Source: The Register)
The report notes that as Beijing’s stance on Taiwan becomes more assertive in official rhetoric, U.S. concerns about achieving semiconductor independence have intensified. The commentary highlights a broader strategic priority: securing reliable access to critical microelectronics and reducing reliance on any single overseas source. (Source: The Register)
Earlier reporting indicated friction over the timeline for starting a majorIntel manufacturing facility in Ohio, reflecting ongoing debates about how quickly the United States can expand its own chip fabrication capabilities. These developments are viewed through the lens of national resilience and the economic implications of lagging behind in semiconductor production. (Source: The Register)