November 29, 2022

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Apple's chip maker TSMC says the war between China and Taiwan will make all losers

Apple’s chip maker TSMC says the war between China and Taiwan will make all losers

A man passes by the TSMC logo at the company’s headquarters in Hsinchu, Taiwan.

Sam Yeh | AFP | Getty Images

Mark Liu, president of TSMC, said in an English-language interview that if China invaded Taiwan, the world’s most advanced chip factory would be “inoperable”. With CNN this week.

In an undated interview, Liu said that if China invades Taiwan, the chip manufacturing plant will not be able to operate as it relies on global supply chains.

“No one can control TSMC by force,” Liu said. “If you take a military force or an invasion, you will make the TSMC factory inoperable.” “Because this is a state-of-the-art manufacturing facility, it relies on real-time communication with the outside world, with Europe, Japan, and the United States, from materials to chemicals to parts to engineering and diagnostic software.”

TSMC, the world’s most advanced chip manufacturer, makes processors for US companies including apple And the Qualcomm. It manufactures Apple’s A and M series chips and has more than 50% of the world’s semiconductor foundry market.

The remarks were broadcast as tensions between China and Taiwan have risen in recent days as House Speaker Nancy Pelosi. visit the island.

“War does not bring winners, all losers,” Liu said.

Parliament last week He passed the Chips and Science Act, which allocates billions of dollars in incentives to build chip factories on US soil. President Biden is expected to sign the bill on Tuesday.

Legislators Say It is critical to national security to secure the supply of efficient, modern chips for US use if China is to invade Taiwan or make chip manufacturing in Taiwan more difficult.

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While a lot of the bill’s incentives will go to US companies like Intel CorporationTSMC is building a $12 billion chip factory in Arizona that could benefit from subsidies.

Liu compared a potential conflict in Taiwan to the Russian invasion of Ukraine, saying that while the two conflicts were very different, the economic impact on other countries would be similar. He encouraged political leaders to try to avoid war.

“Ukraine’s war is not good for any side, it’s loss-and-loss scenarios,” Liu said.

Liu said the invasion of the territory would cause economic turmoil for China, Taiwan and Western countries. He said TSMC sells chips to consumer-facing Chinese companies that need the company’s services and supply advanced computer chips.

“How can we avoid war? How can we ensure that the engine of the global economy continues to operate, and let us have a fair competition,” Liu said.