Event Details
The U.S. Secretary of the Treasury, Janet Yellen, announced in April 2022 the Biden administration's new approach to navigating a more contentious global economy - they called it "friend-shoring." Ms Yellen also opined, "we cannot allow countries to use their market position in key raw materials, technologies, or products to have the power to disrupt our economy or exercise unwanted geopolitical leverage. Let's build on and deepen economic integration (...)with the countries we know we can count on".
Semiconductors and modern microchips are embedded in everything from mobile phones and washing machines, to smartphones, electric vehicles and cloud data servers. However, the supply of these essential components has been under tremendous strain in recent years, forcing stakeholders to consider shifting their supply chains to value-partner countries. This "friend-shoring" tactic is considered as a way to retain access to international markets while reducing mounting geopolitical risks.
But is "friend-shoring" really a panacea for semiconductor security? After all, even military allies can be fierce economic competitors. Furthermore, to what extent are "friends" true when it comes to semiconductor high-tech? In that regard, the U.S. maintains a dependence on Taiwan - certainly a friend - for high-end microchips. Is friend-shoring the right answer to minimising trade risks? Join us at our July event where, together with representatives from academia, business and parliament, we will toil to shed light on the potential benefits and drawbacks of friend-shoring.