Commentary: Taiwan’s Water Efforts Safeguard Semiconductor Industry Despite DroughtMAY 14, 2021 | COMMENTARYTaiwan is fighting assertions that...Commentary: Taiwan’s Water Efforts Safeguard Semiconductor Industry Despite Drought
MAY 14, 2021 | COMMENTARY
Taiwan is fighting assertions that the world is too reliant on Taiwanese semiconductor foundries, given the current shortage affecting the auto sector. Photo by Luan Gjokaj on Unsplash
Editor’s note: This commentary was written by Martin Chen, director of the Economic Division at the Taipei Economic and Cultural Office in Atlanta. TECO Atlanta sponsored a Global Atlanta-organized forum in March on innovation, technology and the future of U.S. trade in Asia.
As the global consumption of consumer electronics, home office products and electric cars increases, the semiconductor industry in Taiwan has grown rapidly to meet the needs of the international community, despite a drought that media outlets have reported will reduce production in Taiwan.
It is true that the drought has impacted Taiwan, as a lack of typhoons hitting the island for the first time in 56 years has left reservoirs in Taiwan at dire levels. However, the belief that the excess concentration of chip production capacity in Taiwan poses risks to global supply chains is misplaced. The Taiwanese government and TSMC have been working diligently to assure that production levels remain responsive to the needs of the international community.