US President Joe Biden has reaffirmed his determination to bring large-scale chip manufacturing from Asia to the US. “The supply chain starts here and ends here,” Biden announced Thursday during a gig at an IBM computer company in Poughkeepsie, New York. IBM has pledged $20 billion in investments in the region over the next ten years.
Among other things, Biden pointed out that global bottlenecks in the semiconductor industry had also made American-made cars more expensive. “We have to make these chips here in America,” he said. The relocation of chip production is not only good for the economy, but also for national security.
Subsidies are followed by investments
The Biden administration had passed a law intended to accelerate the expansion of chip production in the US, including through subsidies. After that, chip giants Intel and Qualcomm, among others, announced high investments in the US.
Global chip production has been concentrated in Asia for decades. This is also the reason why almost all consumer electronics are produced there. Europe is also trying to make chip production on the continent more attractive with subsidies.
Source: Krone
I’m Wayne Wickman, a professional journalist and author for Today Times Live. My specialty is covering global news and current events, offering readers a unique perspective on the world’s most pressing issues. I’m passionate about storytelling and helping people stay informed on the goings-on of our planet.
