Foreign media: A report by the Semiconductor Industry Association (SIA) reveals that the U.S. semiconductor supply chain’s reliance on China runs deeper than surface-level data suggests.
When calculated by the location of supplier headquarters, China accounts for only about 1% of direct procurement for equipment and materials in the U.S. chip industry; however, this figure rises to 5% when measured by production location, while Southeast Asia jumps from less than 1% to 10%. More critically, in upstream raw materials: China controls approximately 95% of global gallium supply and 85% of tungsten supply—critical rare metals essential for compound semiconductors and thin-film deposition processes in chip manufacturing.
The report indicates that although 95% of annual U.S. semiconductor manufacturers’ spending on equipment and materials—nearly $27 billion—is directed toward companies headquartered in the U.S., Europe, and Japan, this share drops sharply to 68% when assessed by country of origin, highlighting a significant dependence on overseas production networks and exposing the U.S. chip supply chain to "hidden vulnerabilities embedded at the upstream level."
Original source: toutiao.com/article/1878847866305674/
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