Recently, the global supply of chips has been quite tight, causing the production of electronic devices and even electric vehicles to encounter bottlenecks. The United States is also affected by this. In view of this, US President Biden is expected to sign an executive order in the hope of alleviating the problem.
According to reports, the US government is looking for bottlenecks in the chip supply chain while discussing with the industry how to solve the problem. Although it is not easy to solve the problem in a short time, it is expected that the newly signed executive order will require the working group to study semiconductor manufacturing, advanced packaging, key minerals, medical supplies, and large-capacity batteries for electric vehicles. Bottlenecks in the supply chain, and then find long-term solutions.
At present, the world’s high-end chips are concentrated in South Korea and Taiwan for production. Although production capacity continues to expand, it still fails to meet the increasing demand. The United States is also worried that tensions in Sino-US relations may cause problems in the supply chain. It is believed that reducing dependence on foreign countries will be the focus of the new policy.
source:Bloomberg
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