The US has sent representatives to Taiwan to hear the chip industry’s concerns about the requirements for new US semiconductor subsidies.
Yoon Suk Yeol, South Korea’s president, said Thursday that the criteria are scaring companies including Samsung Electronics Co. Ltd. and SK Hynix Inc., and Taiwan’s top contract chipmaker shares this concern.
Additional profits must be shared with the US government and, according to industry sources, the application process itself can reveal secret company tactics. US subsidy laws, business investment and running costs have a “clear connection,” according to Wang, who spoke to reporters in Taipei. Wang said the guidelines are still subject to a 60-day comment period.
The Ministry of Economy will certainly help with communication if the industry requires government assistance in the future to interact with the United States, Wang added.
TSMC to invest $40 billion in new Arizona facility
The world’s largest contract chipmaker, Taiwan Semiconductor Manufacturing Co Ltd (TSMC), is investing $40 billion in a new facility in Arizona in the western United States to help Washington’s efforts to ramp up production. national chip.
The subsidies would come from a $52 billion research and manufacturing fund set aside under the so-called CHIPS Act of the United States, the legislation that aims to promote chip manufacturing in the nation and for which the Department of Commerce announced templates this month. and guides.
According to a Commerce Department spokesperson on Thursday, citing its funding notice, the US Commerce Department will safeguard private business information and anticipates that the need to share excess profits will only arise when projects drastically exceed cash flow. planned.
The Central Bank of Vietnam will maintain its loose monetary policy in 2023
Vietnam’s central bank announced on Friday that it would maintain loose monetary policy for the remainder of 2023 to maintain macroeconomic stability. He also stressed the importance of keeping inflation under control in the face of external threats.
Global banking turbulence and Federal Reserve policies have significantly impacted Vietnam, a regional industrial giant, says Dao Minh Tu, deputy governor of the State Bank of Vietnam. Such a tightening has had a global effect, specifically in the United States.
On Thursday, the SBV declared its intention to further cut policy rates to boost the economy, whose growth had been slowed by global demand, from 5.92% in the fourth quarter of 2022 to 3.32%. in the first trimester.
In an unexpected move that bucked the trend of its regional counterparts amid the instability of the global financial system, the central bank cut several policy rates earlier this month to boost liquidity and promote growth.
Tu added that safeguarding the financial system was crucial and that some companies, particularly manufacturers experiencing a drop in orders, were having trouble obtaining loans and needed assistance.
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