The founder of TSMC claims to support American efforts to halt Chinese semiconductor advancements

Morris Chang, the retired founder of Taiwan Semiconductor Manufacturing Company (TSMC), stated this month, despite his support for US efforts to halt China’s advancements in the semiconductor industry, the ‘bifurcation’ of the global supply chain and the reversal of globalisation would raise prices and lessen the omnipresence of chips that power the world today.

Speaking at a CommonWealth Magazine of Taiwan event, Chang mentioned that globalisation is dead in the chip industry. He also added: ‘When the costs go up, the pervasiveness of chips will either stop or slow down considerably.’

As China increases its diplomatic and military pressure against Taiwan, concerns have emerged regarding the potential fate of the semiconductor factories situated along the western coast of Taiwan. These factories produce most of the world’s advanced chips, and there are fears about what would happen if relations between China and Taiwan escalated.

According to Chang, the US policies aimed at enhancing chip manufacturing within the US or allied nations referred to as ‘onshoring’ and ‘friend-shoring,’ could pose a possible threat to Taiwan. He also highlighted that China’s chip manufacturing technology lags behind that of Taiwan by ‘at least five or six years.’