As of 2022, all the United States technology companies that were acquiring sufficient funding from the government till now are no more allowed to build tech facilities in China whatsoever. This statement was announced by the Biden administration. The motive of this issued statement was to increase manufacturing when it comes to semiconductors.
In order to increase the production of semiconductors, the US government is trying its level best to prepare suitable plans. It is their idea that every single electronic device should have semiconductor chips.
The US Chips and Science Act which was approved by Congress recently in the month of August is basically an answer from them amidst the dispute with Beijing and Washington. The dispute happened because the US companies asked for immense support from the government so there is a decrease in components produced in factories situated in China.
According to the US Department of Commerce, a number of applications have been received in response to building more manufacturing settings. The main idea is to start all the construction work in 2023.
“We’re also going to be implementing the guardrails to ensure those who receive Chips funds cannot compromise national security,” the US commerce secretary, Gina Raimondo, said. “They’re not allowed to use this money to invest in China; they can’t develop leading-edge technologies in China; they can’t send the latest technology overseas”, says a report.
As of 2022, the United States takes pride in manufacturing about ten percent of semiconductors. Most of the chips are produced in South Korea and Taiwan.
The complete shortage of computer chips mostly because of the COVID-19 pandemic is the main reason why there has been a delay for carmakers in the United Kingdom and other places. In addition to this, a number of technology companies are facing major issues lately.
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