Global Times recently reported that, in February, under the influence of the international political and economic situation, Taiwan’s exports of integrated circuit chips to the Mainland and Hong Kong fell for the fourth consecutive month. According to data from Taiwan’s Ministry of Finance, the exports fell by 31.3 percent in February year-over-year. This was the most serious decline since 2009, surpassing the 27.1 percent drop in January this year. China’s market share of Taiwan’s chip exports fell to its lowest level since February 2019. Meanwhile, total semiconductor shipments from Taiwan to the world fell 17.3 percent in February from a year ago.
In the meantime, Singapore’s primary Chinese newspaper Lianhe Zaobao also reported on this matter. However, Taiwan’s statistics also showed that, in February, its exports to the United States jumped 22.3 percent. Taiwan is the world’s largest producer of high-end chips, but Taiwan’s status as a geopolitical hotspot contributed to the decline of its global chip exports. Mainland China has been seeking to increase its self-sufficiency in semiconductor technology, countering U.S. sanctions. The Biden administration reached an agreement with the Netherlands and Japan in January to limit the export of some advanced chip-making machines to China.
(1) Global Times, March 20, 2023
(2) Lianhe Zaobao, March 20, 2023