Posted on 05/14/2020 6:02:29 PM PDT by Candor7
Commerce Secretary Wilbur Ross has been in discussions for several years with both TSMC and Intel to build advanced chip manufacturing plants in the U.S. and extract U.S. supply chain needs from China and southeast Asia. It appears his efforts, and the emphasis on global supply-chain shifts from President Trump, are getting results.
According to numerous media reports Taiwan Semiconductor Manufacturing Co (TSMC) is likely to announce this week they will build an advanced chip manufacturing facility in Arizona. A manufacturing facility for advanced 5 nanometer chip manufacturing is a steep investment decision costing around $10 billion.
This shift in a high-tech supply chain will align with President Trump’s prior discussions with Tim Cook the CEO of Apple which led to a decision to invest in Texas. TSMC is a chip supplier for Apple products; and Apple is moving to the 5nm processors in new devices. It looks like the movement of advanced industrial products away from China is underway.
(Via Appleinsider) – Apple supplier Taiwan Semiconductor Manufacturing Co. is set to announce that it plans to build an advanced chip factory in Arizona.
Taiwan-based TSMC is the world’s largest contract manufacturer of silicon chipsets and has long been Apple’s primary supplier of A-series chips.
Now, TSMC is said to be on the verge of announcing new plans to build out an advanced 5-nanometer facility in Arizona, The Wall Street Journal reported on Thursday. The decision, reached by TSMC executives at a board meeting in Taiwan on Tuesday, could be announced as soon as Friday. (link)
This move is a direct result of President Trump playing the economic long-game with an assembly of interests… one result within a much bigger picture.
President Trump has been creating a dual position for several years; this is very unique because it is the same strategy used by China. By expressing a panda mask, yet concealing the underlying dragon, President Trump’s policy to China is a mirror of themselves.
Historic Chinese geopolitical policy, vis-a-vis their totalitarian control over political sentiment (action) and diplomacy through silence, is evident in the strategic use of the space between carefully chosen words, not just the words themselves.
Each time China takes aggressive action (red dragon) China projects a panda face through silence and non-response to opinion of that action;…. and the action continues. The red dragon has a tendency to say one necessary thing publicly, while manipulating another necessary thing privately. The Art of War.
President Trump is the first U.S. President to understand how the red dragon hides behind the panda mask.
First he got their attention with tariffs. Then… On one hand President Trump has engaged in very public and friendly trade negotiations with China (panda approach); yet on the other hand, long before the Wuhan virus, Trump fractured their global supply chains, influenced the movement of industrial goods to alternate nations, and incentivized an exodus of manufacturing (dragon result).
It is specifically because he understands that Panda is a mask that President Trump messages warmth toward the Chinese people, and pours vociferous praise upon Xi Jinping, while simultaneously confronting the geopolitical doctrine of the Xi regime.
In essence Trump is mirroring the behavior of China while confronting their economic duplicity.
There is no doubt in my mind that President Trump has a very well thought out long-term strategy regarding China. President Trump takes strategic messaging toward the people of china very importantly. President Trump has, very publicly, complimented the friendship he feels toward President Xi Jinping; and praises Chairman Xi for his character, strength and purposeful leadership.
To build upon that projected and strategic message – President Trump seeded the background by appointing Ambassador Terry Branstad, a 30-year personal friend of President Xi Jinping.
To enhance and amplify the message – and broadcast cultural respect – President Trump used Mar-a-Lago as the venue for their first visit, not the White House. And President Trump’s beautiful granddaughter, Arabella, sweetly serenaded the Chinese First Family twice in Mandarin Chinese song showing the utmost respect for the guests and later for the hosts.
All of this activity mirrors the duplicity of China. From the November 2017 tour of Asia to the January 2020 China phase-1 trade deal, President Trump has been positioning, for an economic decoupling and a complete realignment of global trade and manufacturing.
This announcement by TSMC today is one small part of a much bigger economic reset currently underway. Beijing isn’t stupid, they can see themselves being outwitted and outplayed. President Trump is winning.
Where does Nvidia produce their graphics chips, outsourced?
Why?
Most of them are outsourced to TSMC and Samsung, among others. They have very low volume fab capability of their own, mostly for prototyping and exemplar production.
Yes, he is!
Life is good again.
Yes, but the Carrollton production gear went in part to *Ireland*. China wasn’t the first outsourcing country for US companies. I was also pointing out that local asshats can also drive off industry, so we shouldn’t just be blaming ‘greedy executives’ or ‘foreign blandishments.’ Some of the blame must be placed on the people who run off industry.
I won’t disagree about there being less tech manufacture in the States than there used to be. I was simply pointing out that Apple’s Austin, TX investment wasn’t just a tiny marginal one to make the Mac Pro, nor was it really just recent.
Every time an American looked at an item for where it was made in it came from China. Now China’s reliance making everything was being threatened by a change in leadership in America which was a major consumer of those products. When Americans hailed their leaders decision to make many of them in their country US. Their politburo worried.
Worse yet opponents to the Chinese regime in power had its citizens protesting its policies , as in Hong Kong, since that change in American leadership wave the American flag and present his name when doing so. All of which presented those in power the need to destroy that leader Donald Trump.
Would a runaway plague created by a nation which could threaten populations of an enemy cause them to react by demanding extreme restriction of movement by its population to prevent its spread ? Thus wind up fragmenting its economy and create defeat for that leader’s upcoming election.
The way this whole thing developed starting with the Italian fashion industry areas controlled by the Chinese commies hit by a runaway CCWV (Chinese Communist Wuhan Virus) breakout occurred in Wuhan the politburo closed off Wuhan but did not warn the Italian Socialist government or the Pope with whom the Chinese government had good relations with.
But certainly violated that understanding when the socialists should have been informed and allowed to deny those Chinese workers who replaced Italians in those factories taken over by the Chinese travel to and from China particularly for their New Year while this was occurring.Where they seem to have done almost the same here with Smithfield Pork processing after the Chinese were hit with swine flu which destroyed their pork industry by their takeover of Smithfield Pork processing. When learning of the Wuhan shutdown Trump cut off China air travel with the exception of only allowing American citizens returning..But was immediately attacked by CNN and the alphabet media outlets as a racist Republican action.
Sure looks suspicious particularly when crews of US naval vessels somehow wind up being infected by it while visiting certain Asian ports before that showed up in Italy.
But to stop the return of manufacturing of products back to the US that went to China. China backers here who’s family members are making millions from China through their political connections will be hit hard are also claiming that Trump’s alleged stock ownership in a quinine pills maker claim its a controlling interest in a product to be totally ineffective and when used requires a severe restriction of movement when near a possible carrier known as a shutdown because of its alleged rapid transmission spread by our media.
Same company. TSMC.
Commentary on what U.S.-based entity will foot the bill for this facility:
TSMC Building a 5nm Fab in Arizona as the U.S. Government Gets Involved
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“Ariz. seems to be a long term popular venue to build chip factories.
Is climate a strong factor in building and operating same?”
Congressman Andy Biggs told me that despite their political differences the entire AZ congressional delegation and Senators are lock-step in doing what is best for AZ and that includes bringing businesses to the state.
A different but perfectly valid interpretation of climate....
They should also not be used to allow domestic industries to become fat and complacent. Harley got a protective tariff in the 80s, decided to market retro and nostalgia instead of actually competing technically, and now they’re bleeding out as all their tech is 80s level at best and they’re running out of customers willing to buy their crap.
Arizona is high desert. We are not Saharan but Sonoran.
We are talking about TSMC and their advanced 5 and 7nm process.
Mainland does have chip fabs but nothing really advanced.
5nm and 7nm is REALLY hard to do and VERY expensive.
Global Foundry tried to make it work and abandoned it.
EUV lithography on layers below M5.
The building must be very stable to make it work.
There are only three companies who do advanced semi fabrication.
TSMC (Qualcomm, Apple and I think AMD)
Samsung (IBM and others)
Intel
Let's not forget how many of our STEM students are foreign, and have their loyalties elsewhere. This needs to stop.
Lack of earthquakes another reason for fabs built in AZ. Very expensive equipment and expensive wafers in process damaged and thrown out.
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