US to discuss new chips law with Taiwan next month

0
6

By Sarah Wu

TAIPEI (Reuters) – The United States will hold talks with Taiwan next month to discuss new US legislation aimed at boosting the US semiconductor industry, the top US diplomat in Taipei said on Wednesday.

Last month, U.S. President Joe Biden signed into law the Chips and Science Act, which authorized about $52 billion in government subsidies for semiconductor manufacturing and research in the U.S., as well as an investment tax credit for chip factories worth an estimated $24 billion.

The United States has encouraged foreign technology companies to manufacture in the country, and the government has invested in Taiwanese TSMC and GlobalWafers Co.

ALSO READ  Markets shudder at choked inflation expectations; Dow down 1,000

Sandra Oudkirk, director of the American Institute in Taiwan, told an industry forum that the US-Taiwan Technology Trade and Investment Collaboration framework, or TTIC, has helped improve and prioritize economic engagements between the US and Taiwan.

“The TTIC is a powerful platform that we are already using to address challenges in the semiconductor space, such as critical chip shortages that negatively impact multiple industrial sectors,” she said of the framework, which launched last year.

ALSO READ  The number of homeless people in Los Angeles raises doubts about its accuracy. Is it time for a new way?

The next “engagement” under the framework will take place in Washington Oct. 12-14, she added.

“At this event, we plan to host a roundtable discussion to learn more about how the Chips and Science Act will be implemented in the United States,” Oudkirk said, without elaborating.

“In addition to Taiwan’s investment in hardware and technology through the Chips and Science Act incentives, the United States is seeking continued support from Taiwan’s industry as we connect talent here and the innovative ecosystem here with the United States and other like-minded partners.”

ALSO READ  Michael Moore predicts 'landslide' against GOP 'traitors' in the meantime, thanks SCOTUS for ruling on abortion

Despite the lack of formal diplomatic ties, Taiwan has wanted to show the United States, the main international lender and arms supplier, that it is a trusted friend as a global chip crisis continues to affect auto manufacturing and consumer electronics.

TSMC, a major supplier to Apple Inc and the world’s largest contract chipmaker, is building a $12 billion factory in the US state of Arizona.

(Reporting by Sarah Wu; Writing by Ben Blanchard; Editing by Kenneth Maxwell)