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Russia-Ukraine War: Taiwan Anticipates Limited Impact on Chip Supply Chain

Taiwan expects little affect from the warfare in Ukraine on the availability of key uncooked supplies for semiconductors, the federal government stated on Saturday.

Taiwan is a significant chip producer, residence to the world’s largest contract chip producer and Asia’s most beneficial listed firm, Taiwan Semiconductor Manufacturing Company Limited (TSMC), and key to assuaging a worldwide scarcity of semiconductors which have in some circumstances pressured auto manufacturing strains to shutter.

The cupboard, following a gathering chaired by Vice Premier Shen Jong-chin, stated three key uncooked supplies for making chips —the gases neon and C4F6 in addition to the steel palladium — wouldn’t see a lot affect.

Taiwanese chip makers use little palladium, and neither Ukraine nor Russia is a significant supply for that which the island does use, the cupboard stated in a press release. Domestic corporations even have the power to refine and “remanufacture” palladium, so there must be no affect, it stated.

For neon and C4F6, there are already shares on the island and provide chains are diversified, so “the near term impact is not big”, the Cabinet stated.

Taiwan’s power provides are additionally safe, with 145 days of oil reserves and diversified provide sources, whereas for liquefied pure fuel, or LNG, there are additionally various provide sources, it stated.

On the monetary markets, the cupboard stated the Taiwan greenback’s change price was comparatively secure however that the central financial institution would hold an in depth watch and take “appropriate management measures” if wanted.

The finance ministry will even act to stabilise the inventory market if mandatory, the cupboard stated.

© Thomson Reuters 2022

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