Taiwan ensures global electronics industry’s supply chain continues

Jakarta (Indonesia Window) – The pandemic requires everyone to stay at home and keep their distance from each other, emphasizing the increasingly important role of semiconductor technology in everyday life as all works should be done digitally and virtually.

However, with social restrictions in all aspects of life, the world’s semiconductor industry is under threat.

Not to mention the emergence of the ‘New Cold War’ between the United States and China which has disrupted the production and distribution chain, as well as the digital technology product market.

In the midst of this global uncertainty, Taiwan ensures that the global electronics industry supply chain will not experience a crisis and be cut off.

In the global upstream, middle and downstream semiconductor industries, from Original Equipment Manufacturer (OEM) to packaging and testing, as well as the Integrated Circuit (IC) memory and design industry, Taiwan not only has the world’s most complete semiconductor industrial estate and a professional workforce, but also an excellent global market share in every industry.

Based on a survey conducted by research organization TrendForce in December 2019, Taiwan’s global market share in the semiconductor wafer OEM industry reached 63 percent, ranking first in the world.

The Taiwan Semiconductor Manufacturing Company (TSMC) is the largest manufacturer of wafer products in the world.

More than half of the semiconductor wafers used in modern military technology, aerospace technology, smart phones, driverless cars, or intelligent cloud voice assistants are ‘Made in Taiwan’.

Taiwan’s packaging and testing industry also ranks first in the world, and its IC design industry ranks second in the world after the United States.

According to statistics in the second quarter of 2020, 4 of the world’s top 10 wafer factories are Taiwanese companies, namely TSMC, UMC, World Vanguard, and Powerchip.

Meanwhile, 6 of the world’s top 10 packaging and testing factories are also in Taiwan, namely ASE, Siliconware, Powertech, KYEC, Chipmos, Hsinbong, and among the top 10 IC design companies in the world, 3 of them are from Taiwan, namely MediaTek., Novatek, and Realtek.

Source: Taipei Economic and Trade Office (TETO)

Reporting by Indonesia Window