Trump Administration, Semiconductor Firms Look to Strengthen US Chip Production

The Trump administration is in discussions with Intel (Nasdaq: INTC), Taiwan Semiconductor Manufacturing Co. and other semiconductor firms to establish new chip factories in the U.S. to strengthen the domestic production of chips as concerns rise over the vulnerability of Asian factories as highlighted by the coronavirus pandemic, The Wall Street Journal reported Monday.

Greg Slater, vice president of policy and technical affairs at Intel, said the company plans to run a manufacturing facility that could provide the government and other customers with advanced chips.

“We’re very serious about this,” said Slater. “The timing is better and the demand for this is greater than it has been in the past, even from the commercial side.”

Sources said some U.S. officials intend to help Samsung Electronics broaden its chip manufacturing operations in the country, while TSMC has been talks with Apple (Nasdaq: AAPL) and officials at the departments of Defense and Commerce about constructing a chip factory in the U.S.

“We are actively evaluating all the suitable locations, including in the U.S., but there is no concrete plan yet,” TSMC said in a statement.

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