Trade war risks for wafer supply: Page 2 of 2

September 28, 2020 // By Nick Flaherty
Trade war risks for wafer supply
The US-China trade war risks the global supply chain, particularly for the supply of wafers, says the chief executives of Global Foundries and X-Fab.

“In all the locations where we are active we are using local measures to support our activities and if you look at the CHIPS Act to stimulate US business that is well aligned with our activities in Lubbock [Texas]. The CHIPS Act is a good thing for semiconductor industry and particularly for the US semiconductor companies, so we look forward to see how that can help our growth in Lubbock.”

European locations need the same kind of support, he says.

“I hope it will be complemented as there is the same awareness in Europe that things need to happen but not in the same proportion as the US. There is support and awareness but it could be further stepped up, and the European community is not always helping, in particular the rules on subsidy are very strict and that is hindering strategic area like semiconductors that has a huge leveraging effect on the overall industry. They are essential. A lot of our industrial equipment depends on semiconductors and if these trade barriers are going to make things more difficult we need to make sure we continue to have access to state of the art technologies.”

“We need an even playing field around the world, and we should look at what the other regions of the world like China are doing. I am not in favour in general of subsidies but we need an even playing field so we need to find the right balance,” he said.  

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